Why Crypto Is Dumping Currently?

*U.S. Credit Downgrade*

Moody’s downgraded the U.S. credit rating due to rising deficits, sparking a global risk-off sentiment. Stocks and crypto both took a hit.

*Bitcoin Whale Sell-Off*

$BTC was rejected at $105K and slipped to $103K as whales dumped over 30,000 BTC in the last three days.

*Ethereum Whale Liquidation*

An $ETH whale sold 10,500+ ETH (worth $26M) at a loss, adding to downward pressure on Ethereum.

*Broader Market Weakness*

Tech stocks tumbled, dragging crypto down with them. BTC and ETH both dropped over 5% amid the market-wide sell-off.

*Market-Making Scandal*

A scandal involving forced liquidations and hidden contracts in market-making circles shook investor confidence and added to the volatility.

In a market dump like this, it’s crucial to stay calm and avoid emotional decisions. Focus on long-term fundamentals, reassess your portfolio, and only consider buying the dip if you have strong conviction. Avoid leverage, manage your risk, and wait for market clarity before making major moves.

DYOR!