Bitcoin and altcoins pared off the gains accumulated in the previous days as the cryptocurrency market succumbed to widespread selling pressure. Bitcoin price slid to lows of $37,710 while Ethereum touched $2796 before a slight rebound.
The majority of the crypto assets, especially in the top 100 are trading presently in red with some recording significant losses. Meme Cryptocurrency, Dogecoin is close to erasing nearly all of its Elon Musk-driven gains, down nearly 12%. Binance Coin (BNB), Solana (SOL), Cardano (ADA), and XRP (XRP) have all experienced pullbacks between 4% and 10% in the last 24 hours.
Bitcoin (BTC) is flirting with a six-week low after a price spike above the important psychological milestone of $40,000 on Monday and today. As of press time, the first cryptocurrency by market capitalization has dropped 4.43% percent in the previous 24 hours, trading at $38,336, near its lowest level since mid-March.
”Bitcoin reversed earlier gains after Russia reportedly suspended gas supplies to Poland,” said Edward Moya, senior market analyst at Oanda. This is “an indication that the war in Ukraine may escalate further.” Other factors might include investors’ focus on aggressive central bank tightening, a growing Russia-Ukraine conflict, and El Salvador’s disappointing adoption of bitcoin as legal tender.
On the positive side, Fidelity Investments, a US-based financial services provider, announced on Tuesday that investors will be able to put bitcoin (BTC) into their 401(k) retirement savings accounts later this year.
Also, Fort Worth, Texas, is now the first city government in the United States to mine bitcoin as Mayor Mattie Parker oversaw the creation of a modest mining farm outside City Hall. Three Bitmain Antminer S9 mining machines will be running in the climate-controlled information technology wing of Fort Worth City Hall 24 hours a day, seven days a week. To reduce the security risk, the miners will be hosted on a private network, according to the city.
The team from Onchain analytics, Santiment reports that the average funding rates on BTC and ETH are close to neutral. Neither longs are paying shorts, neither shorts are paying longs on derivatives markets, suggesting a rather neutral sentiment.
IntoTheBlock reports that ”BTC short-term holders continue to decrease their positions. These traders or addresses holding less than a month, tend to follow the price action, and in many cases sell at a loss. The balance held by traders is at the lowest value since Jan 18, as they now hold 1.49 million BTC”
Image Credit: Shutterstock
Keep in mind that we may receive commissions when you click our links and make purchases. However, this does not impact our reviews and comparisons. We try our best to keep things fair and balanced, in order to help you make the best choice for you.
