Bitcoin Plunges to $65K, Altcoins Bleed 10%-20% as Week Turns Ugly
Bitcoin (BTC) fell to its lowest price in four weeks, dropping more than 2% to $65,100 during the U.S. trading session. Over the past week, BTC has declined by 7.5%. Smaller cryptocurrencies experienced even larger drops, with the CoinDesk 20 Index falling nearly 12% week-over-week. Ether (ETH) lost over 10% during this period, while Solana (SOL), Avalanche (AVAX), Cardano (ADA), and Near (NEAR) saw declines of 15%-20%. The rapid drop resulted in the liquidation of almost $180 million of leveraged derivatives trading positions across all crypto assets in the past 24 hours. The total liquidations for the week exceeded $870 million. Despite earlier expectations of a breakout for bitcoin due to slower inflation and softer economic data, attempts at rallies were quickly sold off. The Federal Reserve's projection of only one rate cut this year, less than previously forecasted, disappointed investors. Political uncertainty in Europe and a stronger U.S. dollar also put pressure on bitcoin. Increased selling from miners and profit-taking from long-time holders near the $70,000 area further weighed on the crypto market.
