Crypto Market Loses $133 Billion Amid Bearish Trends and PPI Data
The broader crypto market's capitalization has dropped to $3.98 trillion, losing $133 billion in 24 hours.
Key factors for this decline include:
- Higher-than-expected US Producer Price Index (PPI) data indicating inflation concerns.
- Comments from former US Treasury Secretary Scott Bessent stating the government will not purchase more Bitcoin.
Major cryptocurrencies are experiencing downturns:
- Bitcoin has fallen from an all-time high of $124,474 to around $118,133.73.
- Ethereum is down to $4,558.81 from near $5,000.
- XRP is at $3.09, down by 0.44%.
- Solana has decreased to $191.01 from above $201.
The CoinDesk 20 Index declined by 2.1%. More than $1 billion in leveraged trading positions were liquidated within 24 hours.
Bessent noted the existing US Bitcoin reserve is valued between $15 billion and $20 billion based on previous price levels, but the market has yet to recover following his remarks.