The post Why Is Bitcoin Crashing Today? appeared first on Coinpedia Fintech News
Bitcoin’s price has left many investors confused after it dropped below $84,000. Despite strong bullish factors over the past week, its recent price movement is far from the high expectations set by analysts following the announcement of the Strategic Bitcoin Reserve.
Bitcoin is currently trading at $80,909, down over 6% in the past day. Bitcoin has dropped 3.37% over the past week, with trading volumes down 53%. Despite the declining figures, Bitcoin whales are actively buying, accumulating more than 22,000 BTC in just three days.
Despite a week full of positive news, including the signing of an executive order for a Strategic Bitcoin Reserve, a Crypto Summit at the White House, and encouraging statements from the OCC, Bitcoin’s price is unexpectedly falling and could drop below $80K.
An analyst expressed surprise, saying that in his 8 years with Bitcoin, he never seen the price action so out of sync with the news. This week was one of the most bullish in Bitcoin’s history, yet the market is facing decline.
Several factors are behind Bitcoin’s recent price drop. Macroeconomic issues, like new tariffs from the US, have sparked sell-offs in Bitcoin and other cryptocurrencies. Besides, the release of the non-farm payrolls (NFP) report on Friday suggests that the Federal Reserve might tighten monetary policy, which could hurt Bitcoin’s price.
Experts noted that while the executive order for a Strategic Bitcoin Reserve and the Crypto Summit were positive, the lack of concrete policies might have cooled investor enthusiasm.
Bitcoin’s decline is also dragging altcoins down, with ETH, XRP, and BNB losing over 6%, 6% and 4% respectively in the last 24 hours.