BTC, ETH Prices Under Pressure as Altcoins Reel

Bitcoin and Ethereum are facing downward pressure in the cryptocurrency market as altcoins also struggle, reflecting a broad sell-off linked to macroeconomic concerns and increased liquidity risks. Bitcoin briefly dipped below $100,000, marking over a 20% fall from its all-time high in October. The CoinDesk 20 index also showed a decline of 2.6% in the past 24 hours and over 27% in the last month. The recent wave of liquidations amounted to more than $1.7 billion, predominantly affecting long positions, with traders expressing caution as open interest in futures contracts decreases. This market behavior, coupled with a heightened sense of fear reflected in the Crypto Fear and Greed Index, indicates a flight to safety among investors. Moreover, future potential support levels are being closely monitored, such as the 50-week simple moving average below $103,000. Despite these challenges, analysts suggest short-term relief rallies may occur if Bitcoin and Ethereum can maintain critical support levels.

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