- November 26, 2024
- Posted by: admin
- Category: BitCoin, Blockchain, Cryptocurrency, Investments
The post Why Is the Crypto Market Down Today? appeared first on Coinpedia Fintech News
Institutional Moves Add Pressure
The cryptocurrency market’s fall is largely driven by institutional activity and the upcoming derivatives expiries. The due $9.4 billion in Bitcoin options and $1.3 billion in Ethereum options are creating volatility as traders adjust positions, leading to widespread liquidations. Notably, Bitcoin ETFs saw a daily net outflow of $438 million. While BlackRock’s IBIT recorded a $267 million inflow, Bitwise BTC lost $280 million, revealing contrasting market views.
The industry experienced $489 million worth of liquidations, affecting 186,000+ traders in a mere 24 hours. As a result, the crypto industry’s market cap fell by $16 billion, and now hovers around $3.27 trillion.
Altcoins React Amid Volatility
Bitcoin’s 3.72% drop weighed heavily on the broader market, pulling down major altcoins like Solana (-6.19%) and XRP (-1.48%). Ethereum, however, showed resilience, gaining 1.09% as investors diversified. Uncertainty hit smaller tokens harder, with The Sandbox plunging 16.80%, marking it as the day’s top loser.
Explore our in-depth Bitcoin Price Prediction to analyze whether BTC can break the psychological $100k barrier anytime soon.
Top Performers Amid Chaos
Despite the downturn, some tokens surged, showcasing trading interest in decentralized finance (DeFi). Lido DAO (+7.67%), Uniswap (+6.07%), and Arbitrum (+5.34%) led the gainers, signaling pockets of optimism.
FAQs
The market decline is attributed to upcoming Bitcoin and Ethereum option expiries, widespread liquidations, and institutional sentiment reflected in ETF outflows.
Over $489 million in liquidations were recorded, impacting more than 186,000 traders.
Yes, Lido DAO (+7.67%), Uniswap (+6.07%), and Arbitrum (+5.34%) were top gainers despite the market downturn.
The Fear & Greed Index is at 84, indicating Extreme Greed, even amidst the market’s volatility.
