WHY MARKET IS GOING DOWN

The crypto market is swinging from left to right, comfortable in limited range and smooth curves. The FTX fallout in the year 2022 shook the market and turned it downside. This year gave a fresh and positive perspective to major cryptocurrencies like Ethereum and Bitcoin, which gradually turned green helped by the relaxed macroeconomic situation of macroeconomic and cooling inflation. As of March 4, 2024, BTC is trading at an exceptionally high level of $63, 667 around 7.78% low from it’s all-time high and ETH at $3,472 that’s around 29.1% low from it’s all time-high.

Nevertheless, the market sentiments have slowly turned from fear to greed and then to neutral. This is the nature of the crypto market which is highly volatile and unpredictable. The cryptocurrencies were showing a sign of stability last month but due to the U.S. inflation and its impact on liquidity.#TrendingTopic #BTC

The U.S. Federal Reserve’s stance on interest rate hikes has moved the crypto market upside down. Bitcoin crossed the level of $31,000 in July 2023 and is again at a low in August 2023 at $27,000 but has shown immense recovery in October at the level of $34,495 and as of today it is at outstanding levels of $63,000. This has left the crypto investors hooked and nervous.

The current volume in the digital crypto market stands at $110.43 billion. However, if we talk about the world’s largest cryptocurrencies, Bitcoin and Ethereum were at the top of the charts till last month and showing signs of recovery. As of March 4, 2024, Bitcoin is trading at $63,667 and Ethereum is trading at $3,472.

The crypto market till now has no doubt positively responded to the global finance uncertainty and is still standing strong amid tightening credit situations with shaky bond market volatility. Crypto cannot sail alone, for a balanced atmosphere all other financial assets have to follow the same sentiments.