Bitcoin continues its deep decline, losing the $26,000 mark, the cryptocurrency market collapses

According to market statistics on May 12, Bitcointhe most well-known and most valuable coin is currently on a sharp decline, with the deepest drop at the price per Bitcoin only 25,600 USD and the highest at 32,132 USD.

According to data from CoinMarketCap, Bitcoin’s trading volume recently reached nearly 60 billion USD, while the market has dropped to more than 580 billion USD.

Bitcoin is falling sharply, leading to a deep drop in other valuable digital currencies listed on the market. Specifically, Binance Coin down 15.6%, Ripple down 20%, Ethereum down 12%, Solana down 48%, Polkadot down 21.8%, Dogecoin down 22.9%, Shiba INU down 26.2%, Avalanche down 31.6%… Thus, the whole market fell into tragedy when the market capitalization decreased by 10%, to only $1,260 billion.

Observing the whole market in the past week, digital currencies with a value of over 1,000 USD such as Bitcoin decreased by 28.64%, Ethereum decreased by 33.38%, Maker decreased by 25.47%. Coins valued above $100 such as BNB down 34.89%, Bitcoin Cash down 39.84%, Monero down 38.51%….

Many experts believe that the decline in price of Bitcoin and digital currencies for a long time is due to the impact of the US announcement of high inflation in April. Based on the consumer price index (PCI) in In April, the index was up 8.3% from a year ago and rising. Many US inflation expectations peak at 6%, but the analysis shows that the core PIC, which excludes food and energy, has risen past 6% to 6.2%.

To cope with inflation, the US Federal Reserve (Fed) has twice adjusted interest rates, this agency will have many moves to raise interest rates until US inflation returns to 2%. It is the interest rate hikes by the Fed and several other central banks that have impacted the bullish momentum of Bitcoin. Besides, the sell-off of stocks on the US stock market also put pressure on this currency.

To date, Bitcoin is down 62% from its peak of $67,566 on November 8, 2021.

According to Azcoinnews, short-term investors are inclined to sell, due to uncertainty about the current market price increase. According to investors, Bitcoin is in danger of continuing to fall further. According to statistics from exchanges, the psychology of retail investors has a sell-off mentality of Bitcoin, leading to the selling of other digital currencies.

Ngoc Cuong

Bitcoin continues to depreciate without stopping, the money block evaporates, players are afraidBitcoin price today (May 4) continued to plunge without stopping, reaching the $ 37,000 mark, causing the entire crypto market capitalization to evaporate tens of billions of dollars.