The cryptocurrency market fell on April 7, and total market capitalization dropped by 10% at the peak of sales to USD 2.41. Trade volumes on the total cryptographic market have increased by 293% in the last 24 hours to 165.05 billion dollars, strengthening the intensity of activity after sales.
The best cryptocurrencies and their 24-hour performances. Source: Coin360
While the cryptographic market is known for high variability, several unique factors contributed to this last decline, including unyielding compliance with its recently announced tariffs and edged sales on the stock market and cryptocurrency market, leading to historically enormous liquidation.
Bitcoin’s detachment ends
The cryptographic market fell in the early Asian trading session on April 7, and American tariffs fell into risk. The administration of President Trump hit all countries with a 10% tariff from April 5. Trump also emphasized that there would be no agreement with China, deteriorating the bear’s black Monday sentiment.
In response, Bitcoin (BTC) dropped up to 74 434 USD on Bistamp for the first time from November 6, 2024. Ether (ETH) expanded its three -day losses, immersing even on $ 1,400, which means 16% loss in the last 24 hours. XRP (XRP), Solana (SOL) and BNB BNB BNB also recorded significant losses, by 15.5%, 15.3%and 8%, respectively.
The performance of the best cryptocurrencies. Source: Coinmarketcap
According to the founder of Hedging Found, the fears of re -inflation are intensified because the tariffs will lead to the “economic nuclear war” Bill Ackman. The risk of inflation about higher than expected inflation is also leading market participants in order to enhance their estimates of the Federal Reserve interest rates in the near future. The chances of 25 points of 25 base points increased by 42% compared to 14% a week ago.
The potential of the target foot for the FED meeting of June 18. Source: CME
Over $ 1.4 billion
Over the past 24 hours, over $ 1.4 billion in cryptocurrency positions has been liquidated in the last 24 hours. Almost $ 1.22 billion is long positions. This meant one of the largest liquidation events in the history of Web3, reflecting events such as the Covid-19 market disaster and FTX defeat.
A heat map on the cryptocurrency market. Source: Coumingss
On the last day, over 460,996 traders were liquidated, with the largest single liquidations took place at OKX, including BTC/USD exchange worth 7 million dollars. This scale of liquidation not only exacerbates price drops, but also raises fear among other market participants, which leads to further sales pressure.
The cryptographic market wiped over $ 350 billion
The total market capitalization of all cryptocurrencies (in total) fell by over 13% from a height of $ 2.67 trillion on April 5 to the lowest level of $ 2.31 trillion on April 7, according to the data with Cointelegraph Markets Pro and Pro I TradingView.
This means a loss of over $ 350 billion in three days. Although it has been recovered $ 2.4 trillion since then at the time of writing, it is 35% compared to the highest level of USD 3.73, achieved on December 17, 2023.
As previously reported by CointeLgraph, a trade war led by the US can enhance investors’ moods in the field of risk, increasing cryptocurrency prices.
This article does not contain investment advice or recommendations. Each investment and commercial movement involves risk, and readers should conduct their own research when making decisions.
