Bitcoin is currently facing significant selling pressure as it attempts to rise above the $100,000 mark. Recently, the leading cryptocurrency fluctuated between $95,850 and $97,729, with a market capitalization around $1.917 trillion. Analysts from 10x Research have indicated that the cryptocurrency market is enduring a tough phase, with the likelihood of further declines in the near term.
What Contributes to Bitcoin’s Struggles?
The downward trend in Bitcoin’s price is closely linked to recent global economic and political events. 10x Research pointed out that Bitcoin has shown signs of weakness since February, with a “Diamond Top” formation suggesting a potential sharp correction after its recent rise.
How are Altcoins Affected by the Market Drop?
Ethereum, the largest altcoin, is experiencing a significant downturn, further illustrating the fragile state of the cryptocurrency market. With major price movements prompting investors to liquidate positions, Ethereum’s volatility has surged due to gamma hedging and futures liquidation.
- Bitcoin’s market dominance is rising, causing altcoin values to decrease significantly.
- The total market value of altcoins has dropped from $1.46 trillion to $1 trillion.
- New regulatory measures proposed by the Trump administration have shaken investor confidence.
- Increasing cautiousness among investors is amplifying selling pressure across the market.
As Bitcoin’s technical indicators continue to show signs of weakening, market experts are cautioning investors about the potential for further declines in the immediate future.
Disclaimer: The information contained in this article does not constitute investment advice. Investors should be aware that cryptocurrencies carry high volatility and therefore risk, and should conduct their own research.
Source: https://en.bitcoinhaber.net/will-bitcoin-break-the-100000-barrier