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Did the crypto market crash today?
The crypto market heatmap is glowing red with price drops compared to gains. But this is not just today, as the market has been behaving like this for days without any significant change recovery since March. The entire month of April was full of ups and downs. For a few days, the market returned to normal, while the rest days were considered part of the crypto market recovery.
So what is the situation today? Did the crypto market crash today or is it just a normal day? Let’s discuss this in this blog.
Overview of the Current Crypto Market Crisis
Global market capitalization knocked down to a monthly minimum of US$2.14 trillion, with a drop of 5% in just one day. Additionally, global trading volume is slightly below $100 billion, which is not the best, but is up 30% from yesterday. Further on, the Bitcoin Dominance is also high, 52.8%, with a neutral score on the fear and greed index.
In the case of the most popular cryptocurrencies, they all face downward momentum where Bitcoin Value fell to $57,071, Ethereum is at $2,885, Solana is at $123, Dogecoin is at $0.1224, and so are others.
Although focused on individual categories, the meme coin market fell 8.6%, the Solana ecosystems market capitalization fell 2.7%, and the AI ecosystem fell 2.15%, confirming the chance of a market crash. cryptography.
After analyzing these statistics, the crypto market crash happened today and heavily affected the cryptocurrency prices.
Why did the crypto market crash today?
Microstrategy, the famous largest company holding Bitcoin, revealed losses of US$53 million in its quarterly report. This news impacted the crypto market as the company’s loss influenced the price of Bitcoin.
Other than that, the Sell in May and go away strategy disrupted crypto market sentiments for today. This May sell and go strategy suggests that investors sell their assets in May and buy them back after October. Although not the perfect strategy for the crypto market, this theme has been trending throughout the day, influencing market sentiments.
When will the crypto market recover?
The continuous Fed meeting It has created an impact on crypto as well as the stock market performance today as both have witnessed a market crash. The meeting will end today at 2pm European time (11:30am IST). And the results of this Fed meeting will play an important role in predicting upcoming market conditions.
According to historical evidencewhether the meeting ended with the defined expectation of no changes interest rate, there is a possibility that we will see better market conditions. However, if the negative news overshadows the positive, the crypto market crash could continue for the next few days.
Other than that, the SEC’s opinion Ethereum Spot ETF is still pending. It is one of the most anticipated events in the crypto industry, the results of which will be released by the end of the month.
O SEC has not been very vocal about the possible outcome, causing panic in the market until now. As the days draw closer to the results, the market may receive some indications of the outcome that could help drive the market higher.
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