Cryptocurrency market fluctuates: Bitcoin, Ethereum, Solana, and XRP drop amid an unexpected Musk-Trump dispute. Economic uncertainties add to investor shake-up. Can a recovery be expected? Explore our analysis now!
After a period of relative stability, the crypto market is currently experiencing a generalized decline. Major players like Bitcoin, Ethereum, Solana, and XRP all show substantial losses. But what triggered this sudden drop?
An unexpected element seems to have contributed to this decline: a public feud between two influential personalities, Elon Musk and Donald Trump. The heated exchanges between these two figures have created tangible tension, disrupting both traditional and crypto markets.
Musk openly criticized Trump’s past controversies, even calling for his impeachment. In response, the former president retaliated with sharp remarks on the economy. While this drama might seem like just another media twist, it has certainly raised concerns among investors.
Currently, the global cryptocurrency market cap stands at 3.18 trillion dollars, reflecting a 3.42% decrease over the last 24 hours. The Fear and Greed Index, at 46, shows a neutral sentiment in the market, while the Altcoin Season Index is low at 23 out of 100.
Bitcoin is trading at $103,360, up 2.77% on the day. Ethereum has dropped to $2,386, losing nearly 7%, while Solana is priced at $147.39, after a drop of over 5%. XRP has slipped to $2.05, and Dogecoin has suffered one of the biggest impacts, plummeting by nearly 9% to $0.1670.
Overall, over $1 billion has been liquidated in the last 24 hours, reinforcing the downward pressure.
Despite this sharp decline, analysts believe this strong reaction could be short-lived. Tensions between Musk and Trump may soon ease, which could help stabilize prices. Bitcoin’s crucial support zone is between $100,700 and $98,000. If the market manages to hold above this range, it could enter a sideways phase before attempting a rebound.
As indicated by Cole Garner, a significant influx of buying was observed during yesterday’s panic, indicating that Bitcoin could move sideways in the coming days. However, from a technical standpoint, Bitcoin is and remains bearish in the medium term until the protected high at $108,800 is surpassed.
Charles Ledoux is a Bitcoin and blockchain technology specialist. A graduate of the Crypto Academy, he has been a Bitcoin miner for over a year. He has written numerous masterclasses to educate newcomers to the industry and has authored over 2,000 articles on cryptocurrency. Now, he aims to share his passion for crypto through his articles for InvestX.
DISCLAIMER
This article is for informational purposes only and should not be considered as investment advice. Trading cryptocurrencies involves risks, and it is important not to invest more than you can afford to lose.
InvestX is not responsible for the quality of the products or services presented on this page and cannot be held liable, directly or indirectly, for any damage or loss caused by the use of any product or service featured in this article. Investments in crypto assets are inherently risky; readers should conduct their own research before taking any action and invest only within their financial means. This article does not constitute investment advice.
Risk Warning : Trading financial instruments and/or cryptocurrencies carries a high level of risk, including the possibility of losing all or part of your investment. It may not be suitable for all investors. Cryptocurrency prices are highly volatile and can be influenced by external factors such as financial, regulatory, or political events. Margin trading increases financial risks.
CFDs (Contracts for Difference) are complex instruments with a high risk of rapid capital loss due to leverage. Between 74% and 89% of retail investor accounts lose money when trading CFDs. You should assess whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Before engaging in financial or cryptocurrency trading, you must be fully informed about the associated risks and fees, carefully evaluate your investment objectives, level of experience, and risk tolerance, and seek professional advice if needed. InvestX.fr and the InvestX application may provide general market commentary, which does not constitute investment advice and should not be interpreted as such. Please consult an independent financial advisor for any investment-related questions. InvestX.fr disclaims any liability for errors, misinvestments, inaccuracies, or omissions and does not guarantee the accuracy or completeness of the information, texts, graphics, links, or other materials provided.
Some of the partners featured on this site may not be regulated in your country. It is your responsibility to verify the compliance of these services with local regulations before using them.
