The recent harsh decline in the global crypto currency market draws attention. Bitcoin (BTC) $103,489.11Ethereum (ETH) $2,516.80Dogecoin
$0.186491 (Doge) and the leading crypto currencies such as XRP experienced great losses. BTC fell to the base of 103 thousand dollars today.
Causes of Crypto Money Fall
This decline in crypto markets is said to be caused by two main reasons. The first is that Donald Trump accused China of violating his trade agreement with the United States on the Truth Social platform. Another important factor stands out as an increase in expectation that the US Federal Bank will not reduce interest rates.
Experts, in parallel with traditional financial markets, the crypto money market is also rapidly affected by global economic developments. Such international developments in the markets significantly reduce the risk appetite of investors.
The total depreciation in the crypto market within 24 hours was reported as $ 186 billion. According to CoinMarketCAP data, the total market value decreased by 3.15 percent to 3,35 trillion dollars. In large crypto currencies, a red picture was generally observed, while the highest loss was the first 10 crypto currencies.
Explanations of experts and authorities
Experts say that changes in interest rates may lead to significant fluctuations in crypto markets. The interest policy of the Central Bank of the United States of the United States avoids FED interest rate cuts, especially among the factors that directly affect crypto currency investments and due to tariff uncertainty.
As we have warned for the last few days, the risk of decreasing to 102 thousand dollars has become evident as the violated $ 106,800 level could not be withdrawn. Today, the price has reached the target point. Sales may accelerate if we do not see explanations that dialogue continues between the Chinese-US duo as of Monday.
The main reasons for the recent harsh decline in the global crypto currency market stand out as expectations for international trade tensions and interest decisions of central banks. Investors may prefer to diversify their portfolios against such fluctuations and strengthen risk management. In addition, it should be remembered that crypto currencies have high volatility and pricing current developments instantly. Large -scale price decreases can lead to short but effective changes in the markets when combined with investors’ emotional reactions.
Responsibility Rejection: The information contained in this article does not contain investment advice. Investors should be aware that crypto currencies carry high volatility and thus risk and carry out their operations in line with their own research.