Bitcoin and Ethereum Dip as Market Volatility Drives Down Prices

sevval01/08/20241 Mins read267

Bitcoin And Ethereum Dip As Market Volatility Drives Down Prices

Bitcoin and Ethereum Drop as Market Faces Increased Volatility

Bitcoin and Ethereum– On Thursday morning, Bitcoin and Ethereum, along with other top 10 cryptocurrencies by market cap, are showing signs of sluggish performance.

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As of now, Bitcoin’s price remains below $65,000, marking a 2.2% drop compared to the same time yesterday, according to CoinGecko data. Ethereum fares worse, with its price falling 3.7% over the past 24 hours to $3,185.22. This decline mirrors the drop in the price of Lido Staked Ethereum (stETH), an Ethereum liquid staking token.

Over the past day, the lagging prices have triggered the liquidation of $225 million worth of derivatives contracts, as reported by Coinglass. Approximately half of these liquidations, about $100 million, occurred in the last 12 hours.

Liquidation happens when a trader’s position is forcibly closed by an exchange or brokerage due to a margin call or lack of collateral. Margin trading allows traders to control larger positions with a smaller amount of their own money—like controlling a $10,000 position with just $1,000. With Bitcoin facing its third consecutive day of losses, there is a risk that it could drop further, as noted by BRN analyst Valentin Fournier in a report shared with Decrypt.

Solana (SOL) has experienced a 7.2% decline since yesterday, now trading at $169.13. The situation is even more severe for meme coins. Dogwifhat (WIF) has dropped 12% in the past 24 hours, and BONK (BONK) has fallen by 9%, according to CoinGecko.

Dogecoin (DOGE), the top meme coin in the Coingecko top 10, has also seen a nearly 4% decrease since yesterday, currently trading at $0.1205.

FAQs

What caused the recent dip in Bitcoin and Ethereum prices?

The recent decline in Bitcoin and Ethereum prices is primarily due to market volatility. Prices have been fluctuating significantly, which has led to a decrease in the value of these cryptocurrencies. Additionally, the liquidation of derivatives contracts has further contributed to the downward pressure on prices.

How much have Bitcoin and Ethereum prices dropped recently?

As of the latest data, Bitcoin’s price is below $65,000, marking a 2.2% decrease compared to the previous day. Ethereum has experienced a 3.7% drop, with its price now at $3,185.22. The price drop for Ethereum is similar to the decline observed in Lido Staked Ethereum (stETH), a related staking token.

For the latest in crypto updates, keep tabs on Crypto Data Space.

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sevval

Şevval has been actively writing since 2022 and is a third-year mathematics student at Ankara University. Her interest in writing is shaped particularly around innovative technologies such as Web3, artificial intelligence, and blockchain. She closely follows developments in these fields and aims to convey complex topics to readers in a clear and engaging manner. She enjoys combining her mathematical knowledge with technology to create content and strives to raise awareness about the digital world of the future.