The cryptocurrency market dropped significantly this week, with bitcoin (BTC) and ethereum (ETH) both facing major losses. Global crypto market cap has fallen to $1.6 trillion, marking a 1.3% decline in the last 24 hours. Bitcoin's market price returned to late March levels with a steep 8% decline in the last seven days, followed by an even bigger 11.5% drop seen in ethereum. Other tokens such as Woo Network, Injective protocol saw losses of 23% and 30% respectively.

The bearish market activity has been attributed to a variety of reasons, with speculation being one of them. The imminence of Coinbase's potential exit from the US market, due to unclear crypto guidelines and the regulatory crackdown, could have further contributed to the Bitcoin slump. Added to this, 3 US based exchanges namely Bittrex, Paxful and Beaxy made an exit from the US market.

To chart an accurate prediction for the future of crypto, observers must closely consider the whale activity, social dominance, and the long term BTC holders supply. According to the data, the long term BTC holder supply has reached an all time high which implies favourable market trends for investors. The Bitcoin’s dominance has also increased since March which means better prospects for the most popular cryptocurrency.

These trends, however, do not guarantee a bitcoin rally and market movements need to closely monitored. For investors, it is necessary to stay informed about macroeconomic developments and the crypto industry events to survive the less favourable crypto market seen in the month of April.



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