The cryptocurrency market has sharply lost $ 100 billion

Over the past two days, the cryptocurrency industry has lost $ 100 billion. However, crypto market experts note that the situation has stabilized and that such drops are normal in leveraged trading, especially when the industry is awaiting the SEC’s decision on bitcoin ETFs.

A cryptocurrency analyst known by the pseudonym CrediBULL Crypto notes that such liquidations occur regularly and are not a sign of an overheated market. He emphasized that this is a «normal» correction of the crypto industry.

Coinglass data shows that about $ 700 million was liquidated during the reporting period, mostly long positions (bets on price increases). Expectedly, bitcoin BTC $65,472.77 Bitcoin -0.66% Market capitalization $1.29 trillion VOL. 24 hours $0.61 billion and ethereum ETH $2,651.09 Bridged Ether (StarkGate) -1.15% Market capitalization $0.2 billion VOL. 24 hours $0.46 billion were the most affected.

Some crypto experts believe that the fall of the main cryptocurrencies and virtual coins from the top 10 list was influenced by Matrixport’s statement in which they predicted that the SEC would not approve any bitcoin ETFs within a month. Nevertheless, experts remain optimistic that the SEC will approve the Ark 21 Shares ETP on January 10, the deadline. Failure to do so could lead to a drop in the price of bitcoin to $ 30,000.

As of the morning of January 5, according to the analytical service CoinMarketCap, the global capitalization of the cryptocurrency market increased by 1.13% to $ 1.67 trillion. At the same time, the daily number of cryptocurrency transactions fell by almost 33% to $ 80 billion. Bitcoin’s market share remains at 51.5%, while ethereum’s is 16.3%. The fear and greed index reached 70 points.