Because of the huge crypto crash, It has been painful day for HODLers and traders. The market is bleeding from last week. Bitcoin and ALT coins are facing drastic damage. The crypto has crashed and market is in extreme fear.
The price of top two cryptocurrencies Bitcoin and Ethereum by market cap, have dropped over 40% since mid-November, Bitcoin had hit its all-time high of around $69,000 in November according to CoinMarketCap. But Bitcoin has declined from it’s all highs from some weeks, it has faced its all time low since july,2021. (i.e. 34,349).
Everyone is willing to know why the market is crashed ? Here are some points which may be the reason for the crash.
- Crypto Regulations : Because of the volatility of the Cryptocurrency, Russia has fully banned crypto a few days ago. Which is the main reason for the crash of the market. Russia is the world’s third-largest Bitcoin miner, which raised the concern for the environment. After the ban of China, Russia’s ban has hit market in a very bad way.
- Long Position : Bitcoin has faced the highest leveraged long position on 23 January, which was closed into the Asian open market. Around $880 million of liquidations had been recorded on Friday. Leadingly Bitcoin has registered close to $175 million liquidation.
- Market Sentiments : Cryptocurrency market has a significant impact on the USA’s stock market. The USA’s stock market has been decreasing for some days, which is leading the crypto market sentiments in an extreme fear position. The whole crypto market is in fear so we may see some more worst situations in the market.
As of now Bitcoin’s price is $35,254.12 and total market capital of the cryptocurrency market is $1,628,333,879,163.