Cryptocurrency Market Facing Dismal Day Amid Global Headwinds
Crypto markets are facing a tough day as they struggle against a wave of challenges. The total market cap of cryptocurrencies has dropped to $2.33 trillion, marking a 4.81% decrease in the past day, according to CoinGecko. Additionally, the Crypto Fear and Greed Index has returned to neutral territory in April, canceling out the overall greedy sentiment that dominated 2024.
On Tuesday, the trend is overwhelmingly bearish, with every coin in the top 100 showing negative performance over the past 24 hours. Unus Sed LEO (LEO) remains the best-performing token in the top 100, down 0.19% with a current price of $5.84, followed by Cronos (CRO) down 0.05% at $0.1296%. However, all of the top 100 cryptocurrencies by market capitalization are experiencing losses, with SEI being the worst performer, down 12.95% in the last 24 hours.
Bitcoin, the leading cryptocurrency, has also seen a decline, dropping to $60,000 today due to over $300 million in liquidations. The coin is currently trading at around $60,200, marking a 4.19% loss in the last 24 hours and a 9.72% decrease in the last 7 days. Technical analysis indicates a bearish trend for Bitcoin, with a possible support level near $60,000 before potentially testing new lows around $52,000.
Ethereum, the second-largest cryptocurrency, is following Bitcoin’s downward trend, with a significant drop from $3,164 to $2,966 in the last 24 hours, down 6.26%. The indicators for Ethereum also suggest a bearish outlook in the short term, with a potential bounce in longer timeframes.
The global market downturn is impacting the crypto market, with various factors such as concerns about the US Federal Reserve’s interest rate decision, corporate earnings uncertainty, and anticipation of macroeconomic events contributing to the negative sentiment. Investors are closely monitoring the Federal Reserve’s stance on rates, with the central bank’s monetary policy meeting underway and a decision expected tomorrow.
Overall, the current market conditions are challenging for both cryptocurrencies and traditional markets, with various economic factors influencing investor sentiment. As the crypto market navigates these headwinds, traders and investors are bracing for potential further volatility in the coming days.
