Reds drenched the crypto market on Tuesday as the market consolidated after securing small profits the previous days. Bitcoin shrunk in price by 3.25 percent in the last 24 hours. The asset, which was trading at $90,010 over the last day, is presently trading at $87,112.
The broader crypto market traded lower on Tuesday, mirroring weakness across global risk assets as year-end volumes thinned, analysts said.
“Growth comes from breadth rather than hype. Bitcoin remains the sector’s foundation, rising above $150,000 by 2026 while ceding dominance to expanding activity across other networks. DeFi evolves toward consolidation, concentrating liquidity and influence among a few major platforms,” Sathvik Vishwanath, Co-Founder and CEO, Unocoin told Coin Headlines.
Ether price dropped by 3.22 percent to trade at $2,937. The asset did hit the $3,000 mark earlier this week only to recede.
BNB joined XRP, Solana, Dogecoin, Bitcoin Cash, and Chainlink in seeing price dips within the range of one percent and four percent each. For Cardano, the loss range was even wider, breaching the seven percent threshold, bringing its price to $0.3510.
Zcash and Canton – two tokens that have mapped out an incredible upward trajectory amid the slowed down market momentum – also slid by nearly seven percent each. Monero, Chainlink, Stellar, Avalanche, Stellar, and Shiba Inu also roped-in price dips.
As per market analysts, the broader crypto market is mirroring weakness across global risk assets as year-end volumes thinned.
“The risk-off tone reflects a mix of macro caution and technical resistance. Asian equities eased after a seven-day rally, while investors awaited the Federal Reserve’s December meeting minutes for clues on 2026 rate policy. Precious metals also corrected sharply after hitting record highs, signaling broader profit-taking across markets,” Riya Sehgal, Research Analyst, Delta Exchange pointed out.
The overall crypto market cap slid by 2.80 percent over the last day to claim the valuation of $2.95 trillion. Only a handful of tokens – Hyperliquid, Leo, and Midnight managed to rope-in gains – but only miniscule ones.
Over 89,610 traders were liquidated in the last 24 hours with the total liquidations hitting $207.00 million, CoinGlass data showed.
Institutional participation into the sector remained active even as trading volumes softened. Strategy purchased 1,129 BTC worth $108 million last week, while Bitmine Immersion expanded its Ethereum holdings by 44,000 ETH, now controlling 3.4 percent of the total supply.
“Heading into 2026, analysts expect consolidation to persist until liquidity and institutional inflows return, with macro policy signals and ETF flows likely to set the tone for Q1,” Sehgal added.