Cryptocurrency experts name the reason for the fall of major digital assets

The cryptocurrency market started the week with a decline: the leading digital assets lost value amid declining institutional interest and investor caution ahead of the US Federal Reserve meeting. Thus, Bitcoin BTC $62,511.15 Mezo Wrapped BTC -0.99% Market capitalization $74.45 million VOL. 24 hours $0.63 billion fell by 1.04% to $ 118,396.13, Ethereum ETH $1,836.81 Bridged Ether (StarkGate) -0.87% Market capitalization $32.68 million VOL. 24 hours $0.26 billion decreased by 1.62% to $ 3,816.44, and Dogecoin DOGE $0.07 Binance-Peg Dogecoin -0.94% Market capitalization $0.18 billion VOL. 24 hours $22.21 million fell by 6.13% to $ 0.2281. The greatest pressure was observed against the backdrop of the suspension of a long-term bitcoin accumulation strategy by MicroStrategy, as noted by market analysts.

Over the past day, Bitcoin’s trading volume has increased by 16.79% to more than $ 65 billion, although the coin has updated its local lows to $ 117,441.44 after an unsuccessful attempt to break the $ 120,000 mark. Against this backdrop, Bitcoin’s market share rose to 60.7%, indicating a capital outflow from altcoins, while Ethereum’s market share rose to 11.8%, the highest since mid-January.

Liquidation volumes in cryptocurrencies reached $ 450 million in 24 hours, with 82% of them falling on positions opened for growth. At the same time, open interest in Bitcoin has slightly decreased, and most traders on Binance are holding short positions, hoping for a further decline in the price. The Fear and Greed Index showed a decrease in greed among market participants.

Among the leaders of the daily growth were Conflux (5.99%, $ 0.1982), TRON TRX $0.33 TRON 0.21% Market capitalization $31.03 billion VOL. 24 hours $19.55 million (1.49%, $ 0.3258), and UNUS SED LEO (0.07%, $ 8.97). The total capitalization of the crypto market decreased by 1.77% to $ 3.88 trillion.

Analysts note that the unrealized profit of short-term Bitcoin holders is limited to 13%, which is significantly lower than in previous bull cycles, when it reached 232% and 150%, respectively. Famous crypto trader Michael van de Poppe drew attention to the refusal of the Bitcoin price from the key resistance level of $ 120,000 and warned of the possibility of a «volatile» week for the market.