Ahead of the monthly close, the crypto market is experiencing rising bearish sentiment, leading to a decrease in total market capitalization.
Declining Futures Open Interest
In the past 24 hours, the total Open Interest (OI) for the crypto market dropped by 2.57% to hover around $109 billion. Ripple's XRP saw a decline of 3.21% in OI, with Ethereum's OI dropping by 3.58%. Bitcoin's OI fell by 1%.
Uncertainty Caused By U.S. Led Tariff Wars
Ahead of the U.S. tariff implementation on April 2, bearish sentiment is evident among crypto market investors. With expectations of potential inflation increase and capitulation, caution prevails.
Low Demand from Short-Term Holders
According to Glassnode data, short-term crypto investors have been selling off their holdings while long-term investors accumulate. Demand for stablecoins has increased as investors seek to protect capital from devaluation.
Bearish sentiments continue to exert pressure on the crypto market, impacting key coin prices. As uncertainty and futures interest decline, long-term investors remain the market's anchor.
