The cryptocurrency market is seeing a major decline. By the time the news is written, the Global Cripto Market Cap has reached below the $ 3.00 trillion, which shows a 5.29% decline in the last 24 hours. There are several reasons behind this decline, including the leading hack and liquidation events. Let us know in detail why the crypto market is falling at this time.
Major hacks impressed the thinking of investors
Investors have been confused by the recent big hacks in the Crypto Market. A large hack infini hack has surfaced in them. This A large stolen of $ 49.5 million in Infini HackThis hack was carried out by a former developer, which exploded the Infini Crypto contract after 100 days. Twister Money was used to convert stolen USDC into 17,696 etc.
Other than this, Bybit hack The market also has a big contribution to the decline. It was a major crypto theft incident, stolen $ 1.5 billion ether in $ 1.5 billion. This hack occurred during a normal wallet transfer and from this Bybit The weaknesses of the safety protocol were revealed. however Bybit Has promised to give a complete refund to customers and is working with cyber safety experts for fund recovery.
Major crypto currency is seen in decline
The market is also seeing a decline in large cryptocurrency like Etreum, Solana, Bitcoin and XRP. Which can be a major reason for the decline in the market. As the news is trading at $ 2,403.61 until the news is written, there has been a decline of 10.79% in the last 24 hours. In addition, Bitcoin (BTC) is trading at $ 89,786.54, which has fallen by 6.11% in the last 24 hours. The price of Solana (SOL) is $ 139.88, which shows a fall of 12.66%. Along with these, other major cryptocurrencies such as XRP, Dogecoin (DOGE) and Cardano (ADA) are also seen falling.
Currently investors In risk-off mode
Currently Investors Risk-off mode Are in Because the crypto investment products are constantly getting capital outflow, causing further pressure in the market. In addition, the STF resistance at the upper level is also interrupting the recovery of the market.
Solana’s mass cell-off
One of the main reasons behind the decline in Solana Value is $ 2 billion token unlock, which is the largest in the network’s history so far. Market maker Wintermute Recently Binance From $ 40 million SOL removed, causing fear of rising cell-off pressure.
Increasing the bearish sentiment, a solana Whale transferred 5,056,172 sols that have a price of about $ 757 million to an unknown wallet. Some traders consider it to be the beginning of a large cell-off, while some believe that it may be a sign of strategically accumulated before the breakout in the market.
Bitcoin is leading the decline in market
Bitcoin (BTC) has currently emerged as the main reason for the decline of the Crypto market. Currently Bitcoin Value is $ 89,786.54, which shows a decline of 6.11% in the last 24 hours. Due to this, the total market cap of Bitcoin has reached $ 1.77t. In addition, the 24-hour trading volume is $ 61.87B, which indicates excessive fluctuations in the market and panic selling between traders. Bitcoin Value This decline has also put heavy pressure on the entire crypto market.
BTC Value also continues to decline, know what is the reason
Big purchase, but not increase in price – what is going on?
Microstrategy bought 20,356 bitcoin, with a price of about $ 1.99 billion and the average price was BITCOIN at $ 97,514. So far, his total bitcoin collection is 499,096, whose price is more than $ 33.1 billion. But surprisingly, despite this big purchase, there was no significant change in Bitcoin Value.
Experts believe that these large purchases are done through OTC (over-the-counter) trades, which do not appear on public exchanges and prevent a sudden growth in the price.
Money is going out of Bitcoin ETF
Bitcoin ETF which earlier had positive effects in the market, now it is having the opposite effect. As of 24 February, the total was seen by a net outflow of $ 357.81 million. In which big names like Constancy and Grayscale are now selling Bitcoin, which is increasing the pressure on the market.
Crypto hack and fraud nervous
Recently the Crypto Exchange Bybit has lost $ 1.5 billion and Infini has lost $ 49.5 million. Also, many pump-end scams (such as Automobile Coin, Libra and Melenia) have also created fear in the market. Due to this, investors are selling their crypto fearing, due to which Bitcoin value is also falling.
Investors trend towards safe assets
Investors are now returning to traditional safe assets such as gold due to Bitcoin’s unrestability. The price of gold is now around $ 2,939.43, near its Historical Highest Level. This is weakening Bitcoin’s confidence in ‘digital gold’.
Decline in network activity
Bitcoin Community is no longer as much transaction or use as before. The active transaction address has come down from 1.2 million to 900,000. This can be a negative signal for the market.
Bitcoin Liquidation of
In the last 24 hours, 285,503 traders were liquidated, causing a total loss of $ 887.08 million. Bitcoin alone had a $ 3.20 million liquidation and 2,720 short positions were cleared.
Due to all these reasons, Bitcoin Value is declining and investors are worried whether Bitcoin may fall even more.
Conclusion
This fall in the Crypto market is the result of the lack of hack, liquidation and the lack of trust of investors. The steady decline in bitcoin value, reduction in network activity and panic selling in the market have also increased the pressure on the market, these incidents have created pressure in the market and forced investors to avoid risk. Now it will be interesting to see what changes come in the crypto market in the coming days and whether the trust of the investors will return or it will continue to decline in the crypto market.
