- Bitcoin falls below USD $99,000 for the first time since Trump’s inauguration.
- Over USD $870 million in cryptocurrency liquidations due to loss of $100,000 support.
- AI development in China and upcoming Fed meeting contribute to bearish market sentiment.
- Altcoins like SOL and DOGE suffer significant losses, dropping over 10% in 24 hours.
Bitcoin’s Tumble Below $99,000
For the first time since Donald Trump’s recent inauguration, Bitcoin has dipped below the $99,000 mark. The crypto market experienced a wave of liquidations, with over $870 million in positions being wiped out.
This wasn’t just isolated to Bitcoin; the ripple effect was felt across the board with altcoins like Solana ($SOL) and Dogecoin ($DOGE) witnessing declines of more than 10% in a mere 24-hour period. This liquidation spree underscores the volatility and interconnectedness of cryptocurrency markets, where the fall of one can lead to a cascade of effects on others.
The Role of AI and Monetary Policy
What’s driving this bearish action? Two major factors stand out: an AI development in China and the looming Federal Reserve meeting.
The rise of China’s AI model, DeepSeek, has introduced new variables into the global tech landscape, causing investors to reassess their positions in tech-heavy sectors like cryptocurrency.
Additionally, the upcoming Fed meeting has investors on edge. With expectations around interest rate decisions, the sentiment is leaning towards caution. The market is bracing for potential policy shifts that could further influence the already volatile crypto space.
© Cryptopress. For informational purposes only, not offered as advice of any kind.
