Crypto Crash: Bitcoin and Ethereum Sink Below Key Thresholds, Wiping Out $2.28 Trillion

Over the past 24 hours, Bitcoin (BTC), Ethereum (ETH), and other cryptocurrencies have experienced a dip, with Core (CORE) emerging as the leading gainer and Nervos Network (CKB) as the largest loser. BTC fell by 5.3% to $62,739, while ETH lost 5.9% to $3,064. The broader crypto market cap dropped by 6% to $2.28 trillion. Among the top gainers were Core, OKB, and Celestia, while Nervos Network, AIOZ Network, and dogwifhat were among the top losers.

Crypto Market Plunge: Bitcoin and Ethereum Tumble Below Key Levels, Leading to a $2.28 Trillion Market Cap

The cryptocurrency market has taken a sharp downturn on Tuesday, with Bitcoin (BTC) and Ethereum (ETH) leading the decline. BTC has fallen below the crucial $63,000 level, trading at $62,739 with a 5.3% loss. ETH has also suffered significant losses, dropping below $3,100 to trade at $3,064, marking a 5.9% decrease.

The overall market capitalization of the global cryptocurrency sector has plunged to $2.28 trillion, indicating a substantial 6% decline over the past 24 hours. This sell-off has been fueled by a wave of profit-taking and uncertainty, as investors remain cautious amid geopolitical tensions and regulatory concerns.

Top Gainers and Losers

Amidst the market downturn, several cryptocurrencies have managed to buck the trend and record gains. Core (CORE) has emerged as the standout performer, surging by 15.8% over the past 24 hours to reach $2.25. OKB and Celestia have also experienced modest gains, rising by 5.6% and 0.5% respectively.

However, a number of cryptocurrencies have suffered significant losses. Nervos Network (CKB) has been the biggest loser, plummeting by 18% to trade at $0.02238. AIOZ Network, dogwifhat (WIF), Neo (NEO), Immutable (IMX), and Bonk (BONK) have also faced double-digit drops.

Market Analysis

Technical analysis suggests that BTC could face further downward pressure if it fails to hold the $62,000 support level. The Relative Strength Index (RSI) is currently below 50, indicating a bearish bias. Similarly, the Moving Average Convergence Divergence (MACD) is displaying a bearish crossover, reinforcing the bearish sentiment.

ETH also appears to be vulnerable to further declines, with the RSI below 50 and the MACD indicating a bearish trend. The $3,000 level could serve as a crucial support area for the second-largest cryptocurrency. If ETH breaches this level, it could trigger a deeper correction.

Cautious Market Sentiment

The recent crypto market sell-off reflects the cautious sentiment among investors as they grapple with a range of factors that could impact the sector's growth prospects. These include the ongoing conflict in Ukraine, rising inflation, and the threat of increased regulatory scrutiny.

Despite the current downturn, the cryptocurrency sector remains a dynamic and innovative space with the potential for long-term growth. However, investors should exercise caution and carefully consider the risks before making any investment decisions.