Experts explain the reason for the fall of major cryptocurrencies

The global cryptocurrency market continues to show a downward trend, with key assets such as Bitcoin BTC $89,490.37 Mezo Wrapped BTC -2.04% Market capitalization $50.88 million VOL. 24 hours $1.44 billion , Ethereum ETH $3,098.43 Bridged Ether (StarkGate) -3.48% Market capitalization $72.38 million VOL. 24 hours $1.13 billion , XRP XRP $2.08 XRP -6.21% Market capitalization $126.35 billion VOL. 24 hours $0.29 billion and Dogecoin DOGE $0.14 Binance-Peg Dogecoin -4.74% Market capitalization $0.36 billion VOL. 24 hours $0.14 billion feeling pressure and showing price declines. Analysts note that although prices are declining, there are no obvious fundamental reasons for a further sharp drop, and the market is still in a general downtrend.

Experts note that low trader activity and weak market sentiment continue to hold back price recovery. The Fear and Greed Index for cryptocurrencies, an indicator that reflects the sentiment of market participants, remains in the «fear» zone, which indicates investor caution and insufficient support from retail buyers to reverse the trend.

Some analysts emphasize that the current decline does not necessarily indicate the beginning of a deeper correctional movement, as there are no new negative factors that would clearly justify even lower prices. According to them, the drop may be part of a technical consolidation after significant upsurges in the past, and the market may go through a correction period without moving sharply downward.

As for individual assets, Bitcoin is under pressure, but some analysts believe that support at current levels could keep it from a major collapse. Ethereum is showing similar behavior, reacting to the overall market condition, while XRP and Dogecoin also remain influenced by trader sentiment, showing no significant signs of reversal.

The analysts conclude that although the crypto market is in a downtrend, there are no clear signals that assets are bound to fall lower. The current state of the market, in their opinion, is more like a phase of adjustment after previous fluctuations, where participants are waiting for updated impulses or macroeconomic signals to determine the future direction.