My Dear Readers,
Crypto market is making investors anxious again as Bitcoin (BTC) falls to $60,891.35, marking a 3.46% drop over the past day. The flagship cryptocurrency's market cap now stands at $1.2 trillion, with 24-hour lows and highs of $60,584.34 and $63,151.44 respectively. Bitcoin's market dominance has also slipped to 53.18%, a 0.46% decrease from yesterday. This price decline is attributed to continued forced selling by BTC miners.
Ethereum Follows the Trend
Ethereum (ETH) mirrored Bitcoin's downward trend, falling 2.99% to $3,349. The second-largest cryptocurrency by market cap recorded 24-hour lows and highs of $3,331.59 and $3,459.76, respectively. Ethereum’s market cap is now valued at $402.96 billion.
Solana and XRP Show Resilience
Solana (SOL) and XRP managed to buck the trend by trading in the green, showing resilience amidst the market downturn.
Floki Among Top Gainers
Despite the bearish trend in the broader market, Floki emerged as one of today's top gainers. The meme coin sector, however, saw a decline overall.
Global Crypto Market Cap and Volume
The global crypto market cap saw a 1.84% dip, landing at $2.77 trillion. The total crypto market volume also decreased by 1.67%, now standing at $53.45 billion.
Top Reasons for Crypto Market Downturn
Long-term Holders Selling
Bitcoin supply unmoved for one year dropped from 70% to 65%, and for two years, 57% to 54%.
Profit-taking and Consolidation
Holders are taking profits after previous highs, indicating consolidation periods before potential bullish resumptions.
Miners Selling
Bitcoin's halving slashed revenues and low hashprice, causing miners to sell reserves to manage high electricity costs.
June's OTC Sales and Exchange Transfers
June saw record OTC sales and $4.5B transferred to exchanges, indicating ongoing sell pressure until prices rebound.
Mt. Gox Creditors' Release
Mt. Gox release:142,000 Bitcoin to be released soon; concerns of market impact, but gradual selling expected due to payout options.
Institutional Selling and Taxes
Institutional and tax considerations: Institutional ownership and tax considerations suggest gradual selling even if all coins hit the market at once.
Government Bitcoin Sales
Germany sold 3,000 BTC ($800M+) and still holds $2.8B. The U.S. sent 4,000 BTC ($240M) to Coinbase, likely for sale.
The crypto market today is characterized by a bearish movement after recent gains. Both Bitcoin and Ethereum experienced significant declines, while certain altcoins like Solana and XRP managed to stay afloat. Investors remain on edge as the market navigates these fluctuations.
😇Right Time to Buy BTC ?? 😊
Despite the current bearish trend in the crypto market, analysts remain optimistic about Bitcoin's long-term potential. Many experts, including prominent investor Anthony Pompliano, advise taking advantage of the dip to secure higher returns on investment (ROI) over time.
These analysts believe that Bitcoin's fundamental value and future prospects make it a smart buy, even during periods of market downturns. Their confidence in Bitcoin's resilience and growth potential underpins their recommendation to buy now and hold for substantial future gains.
Also Read
Altcoins Season Might Begin in Next 5 Weeks With 10x Rally: Here’s Why
Will the BTC Price Hold $60,000? Here’s Why Bitcoin is Consolidating Below $62,500!
Ripple vs. SEC: Ripple Fights Back with a Filing Of Notice of Supplemental Authority
Shiba Inu (SHIB) Reigns as Meme Coin Champion in the Ethereum Ecosystem
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