The crypto market is once again in the spotlight due to a surge in volatility. Major tokens are experiencing sharp declines, causing concern among traders and investors.
Why are Cryptos Crashing?
Today's decline in crypto prices is attributed to several factors. Firstly, many traders and investors are cashing out their gains as prices reach key levels. Secondly, day traders are closing their positions at resistance levels, adding selling pressure to the market. Finally, on the global scale, there is weak buying power due to uncertainty about the next major market move, leading to decreased demand and increased price volatility.
5 Cryptos That Crashed Hard Today
Several cryptocurrencies have seen significant losses over the past 24 hours: - Ethena (ENA): $0.44, down 10.3%. - Onyxcoin (XCN): $0.02, drop of 7.1%. - Aptos (APT): $5.80, decline of 6.0%. - Official Trump (TRUMP): $5.82, down 4.7%. - Aave (AAVE): $242, decrease of 5.21%.
How Traders Profit During Crashes
Despite market downturns, savvy traders capitalize on such conditions through shorting—betting against the market to profit from falling prices. By opening short positions, traders can benefit as asset values decline.
While the market remains volatile, sideways movements often precede strong directional trends. Traders should keep an eye on support and resistance levels and consider risk management strategies to navigate this uncertain phase.
