Cryptocurrency Market Declines as Bitcoin Drops 3% Amid Risk-Off Sentiment
Cryptocurrency prices have declined sharply, with Bitcoin down 3% in the last 24 hours. Major altcoins such as XRP, BNB, and SOL are down between 4% and 5%. The CoinDesk 20 Index lost approximately 3.3%, bringing BTC's weekly performance down 1.7% and CD20 nearly 5%.
Key points include:
- Over $300 million in long positions liquidated on centralized exchanges.
- $38.8 million in shorts liquidated.
- Traders are derisking amid anticipation of tariffs from President Trump effective April 2.
- Core Personal Consumption Expenditures (PCE) data exceeded expectations.
- Consumer confidence fell to a 12-year low.
Gold-backed cryptocurrencies like PAXG and XAUT have seen increased demand, with market capitalization rising above $1.4 billion in March. These tokens are up 0.7% in the last 24 hours and over 18% year-to-date, contrasting with BTC's 12.5% decline and CD20's 28% drop this year.