The cryptocurrency market has faced a significant correction today. Most assets are trading in the red zone in the daily charts. The global crypto market cap has dipped 7.7% in the last 24 hours to $3.51 trillion.
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Current Price Movements
Source: Watcher Guru
Bitcoin (BTC) has once again fallen below $100,000. The original cryptocurrency has fallen 5.6% in the daily charts but is up 2.9% over the last week. Ethereum (ETH) is down 9.1% in the daily charts and is up 0.2% in the weekly charts. XRP has faced a 4.5% correction in the last 24 hours but has rallied 9.7% over the previous week. Dogecoin (DOGE) has dipped by nearly 11% in the daily charts but has risen 10.6% in the weekly charts.
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Source: CoinGecko
According to CoinGlass, 201,983 traders were liquidated in the last 24 hours. The cryptocurrency analysis firm states that the market lost about $622.22 million in the last day.
Source: CoinGlass
Why Is The Cryptocurrency Market Down Today?
Source: manyagroup.com
The correction is likely due to the better-than-expected jobs market data. The development has thwarted hopes of an early interest rate cut. Such developments often lead to less investments in risky assets.
The latest market correction could also be due to the sharp increase in US treasury yields in the last 10 years. According to a report from the Institute for Supply Management (ISM), the Purchasing Managers’ Index (PMI) for the private sector was 54.1 in December. This figure is higher than November’s 52.1. The development may have spooked investors away from cryptocurrencies.
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There is a chance that the cryptocurrency market will pick up steam after President-elect Donald Trump assumes office later this month. Trump has been a vocal supporter of the crypto industry, and his taking charge could trigger a market-wide rally.
