The cryptocurrency market continues to experience volatility, with bitcoin dropping to its lowest level since November, causing concern among investors.
Current Market Situation
Bitcoin, which was recently trading above $99,000, has dropped to below $84,000 in days, marking a significant decrease. Many altcoins, such as ETH and SOL, have also decreased in price, while LTC unexpectedly surged by double digits daily.
Reasons for the Crash
Several factors have contributed to the current downtrend, including global trade wars and rising inflation in the US. These events have altered investor behavior, which can be seen in the outflow of investments from US-based bitcoin ETFs.
Market Reaction and Forecasts
The market overall is showing negative trends. In light of this, there has been a sharp increase in liquidations, reaching $250 million per hour. BitMEX co-founder Arthur Hayes warned that bitcoin could drop to $70,000, thereby erasing all gains since the US elections.
The cryptocurrency market continues its downward movement, raising the question among many analysts as to whether bitcoin has hit bottom or if the decline will continue.
