Why is Crypto Crashing?
The crypto market is undergoing a notable decline today due to various factors. Primarily, the expectation of sustained high interest rates from the Federal Reserve is a key reason, as this diminishes liquidity and discourages investment in high-risk assets such as cryptocurrencies. Furthermore, a significant number of leveraged positions have been liquidated, which has further depressed prices. In the past 24 hours alone, over $380 million worth of positions were liquidated, intensifying the market's fall. This selling pressure, alongside broader economic worries, has contributed to the sharp decrease in crypto prices today.