- Bitcoin drops below $61,000, hitting a low of $60,505 before recovering slightly to $61,850.
- Ethereum’s price falls to $2,911, rebounding to $2,987 by article preparation time.
- Bitcoin and Ethereum both see an 8.8% decline over the past week.
- Solana, Binance Coin, and Toncoin experience significant drops, with Toncoin falling by 6.3% in 24 hours.
- The Fear and Greed Index plunges by 20 points, moving into the “fear” zone at 37 points.
- Total market liquidation surpasses $289 million, with long positions taking the brunt of the losses.
Bitcoin Plummets Below $61,000
In the period from August 2 to 3, 2024, Bitcoin’s price fell below the critical $61,000 mark, reaching a low of $60,505. By the time of this article’s preparation, Bitcoin had recovered slightly to $61,850. Over the past week, Bitcoin has seen an overall decline of 8.8%, bringing its market capitalization to $1.22 trillion.
Ethereum Also Faces a Steep Decline
Ethereum experienced a similar downturn, with its price dropping to $2,911 before bouncing back to $2,987. Over the last week, Ethereum’s value has decreased by 8.8%, resulting in a market capitalization of $359 billion.
Altcoins Follow Suit
Most altcoins have also seen significant drops. Solana (SOL) and Binance Coin (BNB) fell by 5% and 4.6%, respectively. Toncoin (TON) experienced an even larger decline, plummeting by 6.3% in just 24 hours.
Fear and Greed Index Dips Into “Fear” Zone
The Fear and Greed Index, a key indicator of market sentiment, plunged by 20 points within a day, settling in the “fear” zone at 37 points. Just a week ago, the index was at 71, indicating “greed.”
Market Liquidations Surge
In the last 24 hours, the total market liquidation surpassed $289 million. Long positions bore the brunt of the losses, amounting to $247 million, while traders with short positions lost about $42 million.
The recent downturn has had a significant impact on the cryptocurrency market, affecting not only Bitcoin and Ethereum but also a wide range of altcoins. The shift in the Fear and Greed Index highlights a growing sense of caution among investors, which could influence market dynamics in the coming weeks. The substantial liquidations point to heightened volatility, underscoring the need for traders to remain vigilant in these turbulent times.
