Bitcoin falls
The crypto market fell after Bitcoin failed to cross the $70,000 mark. Traders saw this level as important resistance. When Bitcoin slipped below $69,000, selling increased. Bitcoin touched the $68,000 range before moving slightly higher. However, short-term momentum remains weak. Many traders are watching the $68,000 level as key support. If Bitcoin falls below this level, prices may decline further.
Other cryptocurrencies
Other major cryptocurrencies also recorded losses. Ethereum fell below $2,000 and dropped more than 5% in a single day. XRP gave up recent gains and moved lower. Solana also declined as investors reduced risk. Dogecoin saw the biggest fall among major tokens. It dropped more than 10% as traders exited volatile assets. The total crypto market value slipped to around $2.35 trillion, showing lower investor confidence.
Regulation and policy concerns
Market sentiment was also affected by uncertainty around the proposed CLARITY Act in the US. The bill aims to set clear rules for digital assets and define the roles of regulators. However, debate over stablecoin rules has delayed progress. Investors are also tracking signals from the Federal Reserve. Recent economic data has created mixed expectations about future rate cuts.
Shift to safety
During the decline, many investors moved funds into stablecoins such as USDT and USDC. Stablecoins are designed to maintain a steady value and are often used during periods of volatility. Futures market data shows that some traders are still holding long positions. Analysts say the current trend looks like consolidation, not a full market crash. Still, the direction of the market will depend largely on Bitcoin’s movement. If Bitcoin holds above $68,000, a short-term recovery is possible. If it breaks below this level, prices may test lower ranges near $65,000.
