Crypto Under Pressure: Is It Time to Panic Sell or Increase Capital?
The major crypto markets remained cautious on Wednesday, following a sharp correction in recent weeks. The global crypto market capitalization hovered in the $3.0–3.1 trillion range, down around 4–5% in the past 24 hours. Bitcoin held steady in the $89,000–$92,000 range after briefly falling below $90,000, while Ethereum traded around $2,900–$3,100.
The intense selling pressure was triggered by a combination of fundamental factors: dwindling expectations for a Fed rate cut, concerns about overvalued tech/AI stocks, and a broad correction in risk assets. Investors also witnessed billions of dollars in outflows from crypto ETFs and forced liquidation of leveraged positions, deepening the decline and depressing sentiment, as reflected in the crypto Fear & Greed index falling into the extreme "fear" zone.
However, some analysts believe the current pressure could open up medium-term accumulation opportunities if macroeconomic data and central bank policies become more favorable to risk assets. Market participants' focus today is on the Fed minutes, the pending US employment report, and Nvidia's results, which could influence risk-on/risk-off sentiment and influence the direction of Bitcoin, Ethereum, and major altcoins in the coming days.
Source: Newsmaker.id
