THIS IS WHAT IS CAUSING THE CURRENT CRYPTO CRASH!

Don't be discouraged!

The current crypto crash is primarily attributed to the Federal Reserve's recent monetary policy announcement. Despite a 0.25% rate cut, Fed Chair Powell's hawkish stance and indication of fewer rate cuts in 2025 have dampened investor sentiment .

This has led to a significant decline in the crypto market, with Bitcoin falling below $94,000 and Ethereum dropping to around $3,350.

The total market capitalization has decreased to $3.3 trillion, marking the lowest level in nearly a month .

Other factors contributing to the crash include:

Tightening Global Liquidity Conditions: Central banks reducing their balance sheets and rising bond market volatility have created unfavorable conditions for risk assets .

Market Structure Weaknesses: High leverage and market structure weaknesses have also contributed to the downward pressure .

Pre-Holiday Low Liquidity Conditions: The current low liquidity conditions have further exacerbated the decline .

It's essential to note that the crypto market is highly volatile, and prices can fluctuate rapidly. While the current crash may seem alarming, historical patterns and market fundamentals suggest recovery potential .