What is the reason behind today’s crypto decline? A widespread market cooling off.
The past week has seen a decline in the global crypto market, following the record-breaking performance of the leading cryptocurrency. CoinGecko data reveals that the total crypto market cap has dropped by more than $450 billion since March 13, and currently stands at $2.44 trillion.
This decline occurred after Bitcoin (BTC) reached a new all-time high of $73,750 on March 14, with a market cap of $1.45 trillion. However, since then, the flagship cryptocurrency has experienced a 16% decrease and is currently trading at $61,780.
Santiment data shows that Bitcoin’s Relative Strength Index (RSI) has significantly decreased since March 14. The BTC RSI is currently around the 52 mark, indicating lower price volatility and suggesting that significant price fluctuations are unlikely.
Investors are taking advantage of the market downturn, with terms like “dip” and “buy the dip” trending. Santiment reports that these investors are exploring buying opportunities during this period.
It is worth noting that the BTC exchange inflow has increased from 39,731 to 59,101 coins in the past 24 hours. This suggests that some investors may be looking to profit from short-term gains if the asset’s price surges.
Traditional investors have expressed concerns as Bitcoin fell below the $70,000 mark. This recent price dip is the largest market-wide pullback since the beginning of the year, according to a report by crypto.news.
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