The cryptocurrency market cap dropped by over 6 percent in the past 24 hours to about $2.7 trillion. Bitcoin’s (BTC) price led the altcoin market in a notable sell-off, which has cooled the bullish sentiments. Consequently, over $666 million has been liquidated from the crypto market, with over $531 million consisting of long traders.
The sudden cryptocurrency sell-off has seen most short-term traders take shelter in the stablecoins market. According to the latest market data as of this report, Tether’s USDT had a 24-hour rolling trading volume of about $112.7 billion, which is higher than Bitcoin and Ethereum combined.
Top Reasons Crypto Market Slipped Today
Healthy Market Correction
For the first time in the history of crypto bull markets, Bitcoin price crossed the prior all-time high (ATH) before the halving event. The heightened demand for Bitcoin through the recently approved spot BTC ETFs in the United States has heavily influenced the recent bullish trend.
However, a healthy market correction was expected before the halving rally kickstarts. According to Bitcoin analysis by a popular crypto analyst, Captain Faibik, Bitcoin price is likely to drop towards $60,000 in the coming days, before rebounding for new ATH.
Sell the News Event
The past few weeks have seen heavy speculations on the altcoin market following Ethereum’s Dencun upgrade. With the upgrade activated on Ethereum’s mainnet on Wednesday, the upgrade has quickly turned into a sell-the-news event.
Nonetheless, the crypto market correction is expected to allow long-term investors to acquire more digital assets.
