The crypto market turned red today, with tokens like Bitcoin, Ethereum, and XRP trading lower. The total crypto market value fell to around $2.97 trillion, down more than 2% in the past 24 hours as investors remained cautious.
Even though positive economic news has been released, traders continue to sell risky assets, including cryptocurrencies.
Bitcoin is trading near $88,100, down about 2% over the past day. Many investors are locking in profits after Bitcoin’s strong rally earlier this year. At the same time, there are concerns that if prices continue to fall, leveraged positions linked to Bitcoin ETFs could face liquidation pressure.
Ethereum and XRP follow market decline
Ethereum fell to around $2,940, down more than 2% in 24 hours. XRP is also under pressure, trading near $1.90, down around 4% for the day. Solana, Dogecoin and other major altcoins are also seeing losses, showing that selling pressure is widespread.
Rate Cuts Yet to Boost Crypto
There was some positive macroeconomic news today:
- US inflation data falls short of expectations, with underlying CPI at 2.6%
- The Bank of England cut interest rates by 25 basis points
- Expectations for future rate cuts in 2026 are growing
Normally, lower inflation and rate cuts are considered beneficial for risky assets like crypto. However, markets often react slowly. Many traders choose to wait for clearer signals before jumping in again.
Investors remain cautious
Despite bullish comments from some analysts who say this news should help the crypto move higher, investors remain bearish for now.
Concerns over ETF-related sales, global economic uncertainty and recent price volatility are keeping buyers on the sidelines. Until confidence improves, cryptocurrency prices may continue to fall or move sideways in the near term.
What happens next?
For now, Bitcoin, Ethereum, and XRP are falling primarily due to fear-driven trading and profit-taking, not due to long-term negative fundamentals.
If inflation continues to cool and central banks move closer to easing, many analysts believe the crypto could recover. But in the short term, the market seems to be in wait-and-see mode.
