Disclaimer: Information found on CryptoreNews is those of writers quoted. It does not represent the opinions of CryptoreNews on whether to sell, buy or hold any investments. You are advised to conduct your own research before making any investment decisions. Use provided information at your own risk.
CryptoreNews covers fintech, blockchain and Bitcoin bringing you the latest crypto news and analyses on the future of money.
Over the past 24 hours, Bitcoin has fallen by 7.4%, falling below $82,150 and returning to its lowest price level in the last nine months. Major cryptocurrencies also went into the red zone, and the total capitalization of the crypto market decreased by 6.7%.
The market capitalization of Bitcoin itself decreased by 6.7%, to $1.63 trillion, and the daily trading volume of the first cryptocurrency increased by 78.6%, to $78.45 billion. The cost of ether fell by 8% per day, to $2,712. The cryptocurrencies SOL and XRP fell by 8%, to $113.6 and $1.73, respectively.
The correction of Bitcoin and major cryptocurrencies was influenced by events in American politics. President USA Donald Trump signed a decree declaring a state of emergency due to the actions of the Cuban authorities, which pose an “unusual and extreme threat” to the United States. The decree implies duties on goods from countries selling and supplying oil to Cuba.
Related Posts
In addition, Trump announced his readiness to announce the name of the new chairman of the US Federal Reserve System (FRS). American media write that former Fed Governor Kevin Warsh met with Trump in the White House and “impressed the president.” Fisher8 Capital investment analyst Lai Yuen expects that if Warsh is appointed Fed Chairman, the bearish trend in the crypto market will continue, as this manager supports easing the policies of the main financial regulator.
Investors’ appetite for risk is also reduced by growing tensions in the South China Sea, the consequences of the suppression of protests in Iran and the military conflict between Russia and Ukraine that has been going on for four years. Zerocap analyst Emir Ibrahim believes that all these events provoke an outflow of capital from high-risk assets like cryptocurrencies to safe ones.
Sean Dawson, head of research at options platform Derive, expects the start of February to be painful for the crypto market, as Bitcoin could fall to $70,000-$75 000. Dawson believes that the entry into force of the CLARITY bill, which delineates the powers of the US Securities and Exchange Commission (SEC) and the US Commodity Futures Trading Commission (CFTC), is also unlikely to lead to the growth of cryptocurrencies in the short term.
The founder of the blockchain company Animoca Brands, Yat Siu, recently said that Trump has ceased to influence the future of the crypto market.
