After several consecutive days of almost constant gains culminating in a $15,000 surge, Bitcoin has finally entered a correction phase, dropping by over $6,000 since reaching its recent all-time high.
The altcoins followed Bitcoin’s trajectory, experiencing substantial declines in value, including notable drops in DOGE, BCH, SOL, SHIB, CRO, APT, and many others.
BTC Slips Below $117K
What a week it has been in the cryptocurrency world. Less than seven days ago, Bitcoin’s price lingered between $105,000 and $110,000, showing little fluctuation and presenting a lack of clear future direction. However, the landscape quickly transformed on Wednesday evening when BTC surged above this range to achieve a new all-time high of $112,000.
The bullish trend persisted in the following days, peaking near $119,000 on Friday. The weekend remained relatively quiet, with Bitcoin holding a few thousand dollars beneath its record.
The bulls returned with force on Sunday evening, culminating in a decisive Monday where Bitcoin exceeded $120,000 and reached an astonishing new ATH of just over $123,000. This remarkable increase translated to approximately $15,000 added within a span of five days. For those looking to understand this rally, there are possible reasons highlighting the driving forces behind the surge.
Yet, cautionary signals began to emerge. Notably, former President Trump established a 50-day deadline for Russia to negotiate a peace agreement with Ukraine, which coincided with Bitcoin starting to lose momentum following this ultimatum.
As of earlier today, Bitcoin has slid beneath the $117,000 mark and has shown little signs of recovery. Consequently, its market cap has contracted to $2.320 trillion, with a market dominance of 62.1% over altcoins.
Alts in Retreat
Many altcoins that previously experienced exponential gains now find themselves in various states of decline. Dogecoin has notably performed poorly, sliding nearly 7% and trading close to $0.19. However, this downturn could potentially signal a buy opportunity for the largest meme coin, as analysts suggest.
Other cryptocurrencies, including BNB, SOL, HYPE, BCH, SHIB, LINK, and HBAR, have also reported losses of up to 5.5%. Ethereum has dipped below $3,000 following a 2% decrease, while XRP has retraced to $2.9 after a similar drop.
Overall, the cumulative market capitalization of all crypto assets has decreased by approximately $150 billion since yesterday’s peak, now resting below $3.750 trillion.
