The cryptocurrency market is still in a bearish phase, with Bitcoin dropping below $ 42,000.
At the time of publication of this review, the leading digital currency was trading at around $ 41,653. BTC capitalization collapsed on January 7 to $ 789.936 billion.
Of the top ten altcoins, the largest losses were incurred by ether (ETH) and Terra (LUNA), which lost almost 8% in value and fell to $ 3207 and $ 70.49, respectively. Binance Coin (BNB), Solana (SOL), XRP and Cardano (ADA) all fell 5% to $ 445, $ 138, $ 0.74 and $ 1.21.
Cryptocurrency market capitalization fell below $ 2 trillion, now it stands at $ 1.98 trillion.
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Analysts believe that the retreat of digital currencies is due to the sell-off of risky assets.
On the eve of trading on the American stock market ended with a decline in indicators S & P 500, Nasdaq, and Dow Jones. The sales are being observed against the background of the Fed's preparations for raising the discount rate.
According to the head of the Federal Reserve Bank of St. Louis James Bullard, we will see the first rate hike in March.
Bitcoin is finding the bottom at roughly $ 38,000, billionaire Mike Novogratz said.
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Bitcoin skeptics have become more active. For example, financier Peter Schiff on Twitter called fake statements about the massive entry of institutions into the cryptocurrency. In his opinion, only a few financial companies have decided to open positions in the cryptosphere, and they will close them by the end of the year.
The overwhelming majority of large investors refraining from buying BTC have now calmed down and finally abandoned such an asset, Schiff said.