Bitcoin Dips Below $100K, Ethereum Faces Steep Decline as Market Faces Widespread Liquidations

The cryptocurrency market faced significant losses today, with Bitcoin and Ethereum experiencing sharp declines.

Cryptocurrency prices experienced a downturn on January 7, with Bitcoin dipping below the $100,000 threshold and a sharp decline in Ethereum's value.

Bitcoin fell to $97,124 during today's trading session, marking a significant shift from its recent strength. This price movement is being closely watched by investors, especially in relation to key support levels that could indicate the next potential move.

Meanwhile, Ethereum faced a steep decline of 6.75% in its value. This drop occurred just as WisdomTree transferred 11,733 ETH, valued at $42.61 million, to Coinbase, raising questions about the timing and potential market impact of such a sizable deposit.

On the other hand, Ethereum spot ETFs saw strong inflows on January 6, with a total of $129 million flowing into these ETFs. Notably, BlackRock's ETHA ETF saw a single-day net inflow of $124 million. This brings the total net asset value of Ethereum spot ETFs to $13.466 billion, indicating sustained institutional interest despite short-term market downturns.

This market pullback also led to widespread liquidations, with a total of $389 million across various assets. The sharp price corrections in Bitcoin and Ethereum contributed significantly to this figure, highlighting the heightened risk environment in the market.