There is not as much devastation in the stock market or the commodity market as in the crypto market. There is a continuous decline in the price of Bitcoin, the world’s largest cryptocurrency. The price of Bitcoin is below 90 thousand dollars. The effect of which is visible in the overall cryptocurrency market. This is the reason that in the last 24 hours the cryptocurrency market cap has suffered a loss of 130 billion dollars i.e. about Rs 12 lakh crore. Let us also tell you at what level the price of Bitcoin and the overall cryptocurrency market is being seen.
Bitcoin falls, $130 billion wiped out of market
On December 15, the price of Bitcoin was seen at $89,608, which is a decline of 0.60 percent in the last 24 hours. Due to this, the total cryptocurrency market cap has decreased by more than 130 billion dollars i.e. about 12 lakh crore rupees. After which the total market cap has come down to below 3 lakh crore rupees i.e. 2.98 trillion dollars. In the morning session, the world’s largest cryptocurrency fell as low as $87,996 and hit an all-time high of just above $89,923.
Riya Sehgal, research analyst at Delta Exchange, said in a media report that about 116,000 traders closed their trading, taking the total loss to more than $295 million. This is a sign of high leverage and weak market sentiment. Bitcoin is holding steady between $87,500 and $91,000, indicating bearishness, while Ethereum is fluctuating between $2,900 and $3,180, trading about 37.5 percent off its lifetime high.
Turmoil in other cryptocurrencies too
Instability is also being seen in other cryptocurrencies. In the last 24 hours, there has been a 0.23 percent increase in ETH in Ethereum, a decline of 0.73 percent in ADA, a percent decline of 0.21 percent in SOL, a rise of 0.82 percent in XRP and a decline of 0.50 percent in BNB. Sehgal further said that Bitcoin’s failure to hold the $90,000 support level signals a change in the Bank of Japan’s policy, which will historically reduce global liquidity.
It will also create pressure on risk assets. He said that each increase in interest rates by the Bank of Japan since 2024 has led to a 20-30 percent decline in Bitcoin, and traders are once again taking a defensive stance. In the last 24 hours, the market has fallen by 1.01 per cent, taking the monthly decline to 4.83 per cent.
Why is the crypto market under pressure?
Nischal Shetty, founder of WazirX, quoted Moneycontrol’s report as saying that the global market is caught between signs of softness in the West and increasing pressure in Asia, which is creating a tug-of-war environment for risky assets including crypto. Liquidity conditions are improving on expectations of further interest rate cuts by major western central banks. The announcement of crypto rules by the UK Finance Ministry has added a new level of optimism.
But across Asia, markets are moving away from risky assets, Shetty said, as reflected in equity market trends. Not considering their potential role in alternative assets. Structural reforms, favorable demography and rising domestic consumption may be favorable for long-term crypto adoption in Asia. For now, the East is cautious and waiting for favorable conditions.
