Bitcoin (BTC) has lost the $100,000 threshold after recording a 6.4% decline over the past 24 hours. priced at $97,000 at the time of going to press.
Bitcoin fell to $96,233 before attempting a recovery. As a result, crypto derivatives saw nearly $1.2 billion in liquidations during the period, based on CoinGlass data.
Sharper corrections among major altcoins followed BTC’s fall, with the total crypto market cap falling 9% over the same period to $3.63 trillion.
Ethereum (ETH) was trading at $3,372 after losing 10% in the past 24 hours, while Solana (SOL) saw an identical crash to a low of $187.
Chainlink (LINK) and Dogecoin (DOGE) had the worst performances among the 20 largest cryptos by market cap, with corrections of 17.3% and 18%, respectively.
These crashes are likely a consequence of Fed Chairman Jerome Powell’s statement on US interest rate policy.
On Dec. 18, Powell signaled that the policy rate could be more cautious following the recent cuts, which analysts view as two rate cuts next year. Additionally, the Fed Chairman noted that potential cuts will depend on market data and that it will take time for inflation to reach 2%.
Despite the market’s uncertainty regarding the US economy, Powell showed optimism in his speech yesterday:
“We are in a very good position, our policy is in a very good position (and) I expect another good year next year.”
Potential shutdown
In addition to the unease created by Powell’s recent remarks, the US Congress faces an imminent partial government shutdown with just two days left to pass a spending bill.
President-elect Donald Trump has rejected a bipartisan stopgap measure to extend government funding through March 14, 2025, insisting that lawmakers first tackle the national debt ceiling.
In response, congressional Republicans are developing an alternative plan that aligns with Trump’s demands for sufficient support in the House and Senate.
Without legislative action, a government shutdown, scheduled to begin Dec. 21, would disrupt many services and delay pay for federal employees.
Trump has also proposed abolishing the debt ceiling entirely, a suggestion likely to face criticism due to concerns of fiscal irresponsibility.
Bitcoin Market Data
At the time of going to press 8:06 p.m. UTC December 19, 2024Bitcoin is ranked #1 in terms of market capitalization and the price is down 5.64% in the last 24 hours. Bitcoin has a market capitalization of $1.91 trillion with a 24-hour trading volume of $105.71 billion. Learn more about Bitcoin ›
Crypto Market Summary
At the time of going to press 8:06 p.m. UTC December 19, 2024the total crypto market is valued at 3.3 trillion dollars with a 24 hour volume of $296.39 billion. Bitcoin dominance is currently at 57.96%. Learn more about the cryptocurrency market ›
