📉 Crypto Market Selloff: Here’s Why BTC, ETH, SOL, XRP, LUNC Falling Today 📊🔻

The crypto market experienced a widespread selloff on Friday, leading to a 4% dip in the global market cap to $1.61 trillion. The aftermath of Friday's expiry wreaked havoc on traders and investors, resulting in nearly $250 million liquidated over the last 24 hours. Let's delve into the reasons behind the fall and its impact on major cryptocurrencies.

1. Bitcoin Takes a Hit: Rapid Plunge and Put-Call Ratios!

Bitcoin's price plummeted from $42,720 to a low of $40,631 within hours, marking a 4% decline. Altcoins like Ethereum (ETH), Solana (SOL), XRP, and Cardano (ADA) also witnessed a 3-7% drop in a short span.

📅 Friday’s Expiry and Options Impact:

Traders foresaw a major liquidation post the spot Bitcoin ETFs listings, keeping the market stagnant throughout the week.22,000 BTC options with a notional value of $890 million set to expire on January 19, with a put-call ratio of 1.1. The max pain point at $44,000 indicated selling pressure.BTC price currently trades at $41,419.

2. Ethereum and Altcoins Face Pressure: Options Expiry and Liquidations!

ETH options with a notional value of $520 million are set to expire, with a put-call ratio of 0.55. The max pain point is $2,500, higher than the current price of $2,469. ETH price dropped 3% in the last 24 hours.

📉 Massive Liquidation and Market Impact:

Coinglass data revealed a significant $250 million liquidation on January 19, affecting over 103K traders.Largest single liquidation on Binance's BTCUSDT worth $7.31 million, contributing to the broader market selloff.

3. Macro Factors Influencing the Market: USD Strength and Treasury Yields!

A strong US dollar exerted selling pressure on Bitcoin, with the US dollar index (DXY) rising above 103.50.U.S. 10-year treasury yields surged above 4%, further impacting Bitcoin.

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