BTC, ETH Prices Under Pressure as Altcoins Reel

Bitcoin and Ethereum are facing downward pressure as altcoins struggle, following a significant sell-off characterized by over $1.7 billion in liquidations. Bitcoin dipped below $100,000, now trading more than 20% lower than its recent all-time high of $126,000. The broader market has also dropped 2.6% in the past 24 hours and over 27% in the last month. Factors influencing this downturn include recent macroeconomic developments and a hawkish tone from the Federal Reserve. The liquidation of long positions, particularly in Ethereum, has exacerbated the decline, as market sentiment shifts towards caution. This has been highlighted by the Crypto Fear and Greed Index now indicating a state of fear. Analysts suggest that liquidity issues, especially in altcoins, are leading to larger swings in prices. Looking forward, the altcoin market remains in oversold conditions, raising the possibility of a short-term relief rally, but significant resistance points exist that could stifle recovery efforts if Bitcoin and Ethereum fail to reclaim critical support levels.

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