WHY Crypto Crash Today Top 5 Reason
1- Massive Withdrawals and Liquidations: Prices have been under pressure because of large withdrawals and liquidations; for example, BTC liquidations surged from $14m to $36m within 24 hours.
2- Miner Capitulation: Persistently low hash rate is forcing Bitcoin miners to grapple with reduced earnings; in order to keep their operations afloat or switch to other proof-of-work tokens altogether, some of them sell BTC.
3- Government Actions: Although no coins have been sold yet, investor panic was caused by the German government’s movement of BTC holdings.
4- Market Sentiment: Spot and derivative exchanges saw bearish sentiment through Bitcoin flows which lost key support levels in June indicating a midterm bearish trend.
5- Global Economic Climate: Broader global economic concerns such as inflation, rising interest rates and living costs are eroding investors’ confidence beyond cryptocurrencies.
