Why Are Bitcoin (BTC) and Altcoins Declining Today?

While Bitcoin is falling, BTC dominance is increasing.

The cryptocurrency industry started the new month very badly. The sharp declines experienced by the leading cryptocurrency Bitcoin (BTC) and altcoins have caused many crypto investors to lose interest in the market.

There has been a decrease of more than 10% across altcoins in the last 24 hours. Many cryptocurrency investors are curious about the reason for these declines.

Although there is no single reason for the recent pullbacks, the following reasons played an active role in these declines:

FED Chairman Jerome Powell and many FED officials will speak this week.

Important data such as Non-Farm Employment and Unemployment Rate in the USA will be announced.

Highly leveraged long positions have been opened in the recent period.

Experiencing upward movements in the US dollar index (DXY).

Bitcoin has closed green candles for 7 months in a row (no monthly investment instrument has been able to close green candles for 8 months in a row).

Grayscale continues to create selling pressure on BTC.

Apart from these developments, the rise in BTC dominance while Bitcoin is falling can be considered as the trigger for the sharp declines in altcoins.

Stay tuned for updates.