The recent economic uncertainty in the United States has taken a toll on the cryptocurrency market, with Bitcoin experiencing a sharp decline in price. In the past day, the asset plummeted to $60,500, marking its lowest point in nearly three weeks. This steep drop has also affected altcoins, such as SOL, TON, and UNI, which have all seen significant losses of over 5%. Additionally, Ethereum (ETH) has slipped below the $3,000 mark, further adding to the market downturn.
Despite a brief surge to $70,000 earlier in the week following former President Donald Trump’s appearance at the 2024 Bitcoin Conference, Bitcoin was quickly rejected at that peak and experienced a rapid decline of four thousand dollars shortly after. The subsequent days saw continued bearish momentum, culminating in the cryptocurrency’s price plunging to $60,500, the lowest it has been since July 14.
The recent uncertainties surrounding the US economy, particularly the disappointing job report released on Friday indicating the highest unemployment rate since October 2021 at 4.3%, have significantly impacted investor sentiment. This shockwave led to the withdrawal of millions of dollars from spot Bitcoin ETFs and a downturn in Wall Street. As a result, Bitcoin’s market cap has dropped below $1.220 trillion, while its dominance in the market stands at around 53%.
Altcoins have also suffered losses in the wake of Bitcoin’s decline, with Ethereum, BNB, Solana, Toncoin, and Uniswap all experiencing substantial drops in value. Ethereum, for example, has lost 5% of its value in a single day and is now trading below $3,000. Similarly, BNB has fallen below $550, while other altcoins like FLOW, MKR, WIF, JUP, and ONDO have seen even more significant losses ranging from 9% to 12%.
Overall Market Cap Decline
The cumulative market cap of all cryptocurrency assets has taken a hit, plummeting to $2.3 trillion. This represents a $100 billion decrease from the previous day and a $150 billion decline over the past two days. The market volatility and uncertainty caused by the economic situation in the US have clearly had a significant impact on the cryptocurrency market as a whole.
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