The second-worst weekly decline in cryptocurrency values of 2024 occurred as a result of global investors losing interest in Bitcoin exchange-traded funds (ETFs).According to Bloomberg, the top 100 cryptocurrencies fell 5% over the previous week, marking the largest drop in the sector since April.
On Monday, the price of bitcoin fell below $63,000 and reached its lowest point since May. This occurs when the US markets are extremely confused over whether the Federal Reserve would lower its major interest rate or not, causing the cryptocurrency market to continue losing money for the sixth day in a row since last week. Investors have stopped making purchases in order to wait for clarity, which has drastically decreased demand.The current decline, according to one analyst, is characterized by minimal volatility, flat volumes and uneven order books when prices get close to the bounds of their range.
Solana and Ethereum (ETH) have experienced one of the worst devaluations to date. While Solana, formerly a global favorite among digital-asset hedge funds, is seeing its worst downward spiral since 2022, ETH is currently experiencing its longest run of weekly drops since 2023.
It is important to note that although Bitcoin hit an all-time high of $73,798 in March, it has underperformed this quarter when measured against more conventional assets like gold, bonds, and stocks.The leading cryptocurrency was down 3.14 percent and traded at $62,375 at the time of reporting.
