The cryptocurrency markets are experiencing remarkable volatility. Bitcoin (BTC) has retreated from its peak of $108,000, falling below $94,000. However, major altcoins such as Ethereum (ETH), XRP and Solana (SOL) have gained between 3% and 5% in the past 24 hours. The markets present a complex environment that presents both risks and opportunities for investors.$BTC
The recent movement in altcoins has been prominent. Virtual Protocol (VIRTUAL), in particular, attracted attention by gaining 35% in value. It was followed by Zcash (ZEC) with a 20% increase. These increases are interpreted as a recovery signal in the markets. In addition, Ethereum (ETH) increased its dominance rate by increasing by 4% to $ 3,383.
Meme coins are also actively traded. Dogecoin (DOGE) and Shiba Inu (SHIB) gained 4%. BONK announced that it will burn 1 trillion tokens in a significant development. Such movements continue to increase the impact of altcoins on the markets.
Bitcoin (BTC) fell to $ 93,984, recording a market value of $ 1.86 trillion. The decline in BTC also affected the performance of other crypto assets, with the total market value increasing by 2% to $ 3.32 trillion. It is stated that the market exhibits a neutral outlook, as the Fear and Greed Index remained stable at 55.
The 20% increase in trading volume shows that the market is still active. Although some investors see this as an opportunity, it is emphasized that risks still exist due to volatility.
The announcement by the Internal Revenue Service (IRS) that it plans to tax staking rewards has sparked debate among investors. This development could further impact markets that are already in limbo and cause many investors to reconsider their strategies.