One of the leading cryptocurrencies, Bitcoin has continued its bearish price action for the third straight day, with the leading cryptocurrency dropping to a weekly low of $21,814, according to data from CoinMarketCap. After a short recovery, Bitcoin stood around $21,785, down by 6.9% on the day despite a 7.69% jump in daily trading volumes.
Ethereum Has Slipped Over a Decline of 6.2%
The market capitalization of Bitcoin has more than halved, plummeting from $1.27 trillion last November to under $417 billion. One of the leading cryptocurrencies, Ethereum, the second-largest cryptocurrency by market cap, has also slipped to around $1,728, a 6.2% decline over the past 24 hours. With a current market capitalization of $211.5 billion, ETH is down 64.49% from its all-time high of $4,891 recorded in November, according to data from CoinMarketCap.
Amid the bearish price action of the leading cryptocurrencies, over $537 million from 156,155 traders have been liquidated in the crypto market over the past 24 hours, suggests data from Coinglass. Bitcoin leads liquidations with $201.3 million, followed by Ethereum with $132.7 million over the same period. The vast majority of liquidations for the two leading cryptocurrencies came from blown-out long positions.
Other Leading Cryptocurrencies Have Also Experienced Tremendous Losses
Other cryptocurrencies, including Binance Coin (8%), Solana (11.6%), Polygon (11.85%), and Avalanche (14.3%), have also posted tremendous losses over the past 24 hours, according to CoinMarketCap. The market’s bearish price action of the leading cryptocurrencies is likely linked to the Fed’s expected rate hike next month and the reduced DeFi activity.
According to reports, St. Louis Fed President James Bullard favors a 0.75% rate hike by next month. Mary Daly, San Fransisco’s Fed President, also confirmed a 0.50% or 0.75% rate hike next month. Both have confirmed that the rates could be hiked as long as rising inflation is controlled.