The crypto market has seen a dip of 6% in the last 24 hours and a loss of $2.42 trillion. This was very much unexpected and the Solana coins have also lost 9% of their value in the last 24 hours.
According to CoinDesk, BTC fell over 8% and it is considered to be the biggest fall in percentage since November 2022. This mainly occurred because the US-listed spot exchange-traded funds (ETS) fell out of favor. Last week we saw that the prices suge and set a 15% increase in the record.
This fall occurred amid the Federal Reserve policy decision. Apart from Bitcoin, Ethereum also saw a plunge of 7% to $3,350 and Solana and Cardano experienced a fall in their prices as well.
The altcoin market is also experiencing a slowdown in its usually high margins. We can see that investors are still investing in crypto despite its marked decline in the last few days.
Uncertainty is prevalent in the market and a recent incident where an unknown account sold over 400 BTC in a short time causing a drop in the Bitcoin price, costing around $8,900.
According to a report, BitMEX has launched an internal investigation to mitigate the situation to prevent further lowering of the prices. This incident also reminded the investors of the drawbacks of large-scale Bitcoin ETSs on networks.
With the Bitcoin bullish cycle around the corner, new data revealed that 93.6% of the total Bitcoins have been mined from mid-March itself. This could limit the future supply of the coins and it can even surge the prices of the coins in the upcoming bull market.
Investors are keeping a close eye on the Federal Reserve this week. This could predict the magnitude of the interest rates and other effects on the crypto market.
Experts also predict that if the interest rates are low, it could weaken the Treasury yields. This could make cryptocurrencies more attractive and investors may be going to invest more in the currencies. On the other hand, if the interest rates surge, it could affect the number of investors in the crypto market.
Yesterday, Memecoins were also affected, the Dogecoin reported a -3.63% loss and recorded a 9% drop, and the Shiba Inu marked -5.01% experiencing a drop of 7%. This is a major dip since the drop marked in December 2023.
Grayscale CEO says that Bitcoin ETF will drop over time when the outflows hit $12 billion. However, this shortfall has been considered to be a brief fall in crypto trading. It is also predicted that after this week, investors are likely to see a surge in price.
The Solana is also said to get back up on its feet after this week. People are going to recognize the profitability of Solana and are going to get a tremendous market share on Ethereum. It is also growing more quickly than expected and there is more retail and institutional demand because it is cheaper and faster when compared to its competitors.
