The overall crypto market is reeling under immense pressure as geo-political tensions and macro-economic circumstances continue to evolve. Bitcoin on Monday reflected a price dip of around two percent over the last day. The most expensive crypto asset was trading at $77,860 at the time of writing. The seven-day average price of BTC is down by 12.41 percent, data by CoinMarketCap showed.
Ether price also fell by nearly three percent over the last day. At press time, ETH was retailing at $2,321 with its seven-day pricing average down by 11.20 percent.
In conversation with Coin Headlines, market analysts said the crypto market is under correction after more than $2.6 billion were liquidated from the market over the weekend.
“The sell-off was amplified by $1.6 billion in net outflows from U.S. spot Bitcoin ETFs in January, reflecting institutional risk reduction. Macroeconomic and geopolitical factors deepened the decline,” said Riya Sehgal, research analyst at Delta Exchange. “Markets reacted negatively to U.S. President Trump’s nomination of Kevin Warsh as the next Federal Reserve chair, a perceived hawk expected to favor tighter monetary policy. The move fueled a rally in the U.S. dollar and sell-offs in risk assets, including crypto.”
BNB, Solana, Tron, Leo, Monero, Chainlink, and Cronos joined BTC and ETH in clocking losses of under five percent over the last day.
Meanwhile, crypto assets like XRP, Dogecoin, Cardano, Canton, and Stellar showed profits of under one percent.
The altcoins, overall, show a mixed market momentum on Monday.
Lukman Otunga, senior market analyst at digital brokerage firm ForexTime (FXTM), told Coin Headlines that the market will remain volatile for the coming few days.
“Markets are being pulled in two directions. On one hand, optimism around global equities and major tech earnings is supporting risk appetite. On the other, persistent trade uncertainty, sharp currency moves, and doubts around US fiscal and monetary policy are keeping investors on edge,” Otunga said. “With the dollar still vulnerable and big tech earnings accounting for a significant share of the S&P 500, the coming days could set the tone for risk sentiment well beyond this week.”
The overall crypto market cap has tumbled by under two percent in the last 24 hours. At present, the valuation of market stands at $2.62 trillion.
Over 198,348 traders were liquidated in the last 24 hours with more than $821 million having left the ecosystem, CoinGlass data shows.