The cryptocurrency market today is witnessing a sharp decline, during which more than $150 billion in market value has evaporated in just 24 hours, due to escalating trade tensions between the United States and China.
🔻 Overall Performance
Bitcoin (BTC): Currently trading between $111,500 – $113,000 with a loss of approximately 3.7% after breaking important support levels.
Ethereum (ETH): Dropped by about 7.5% to trade below $4,000.
The selling pressure was driven by investors fleeing to gold, which has reached new record levels amid renewed geopolitical concerns.
💰 Investment Flows
Bitcoin and Ethereum funds registered in the United States saw withdrawals exceeding $756 million, indicating a lack of institutional confidence in the short term.
😰 Market Sentiment
The Fear & Greed Index is at 42.
The overall mood is bearish, and analysts are talking about a "widespread collapse" and a "vertical fall," with the market needing a period of accumulation and building a new bottom.
🌍 Other Developments
Nigeria imposes a 15% tax on cryptocurrency profits amid criticism for a lack of regulatory clarity.
Uganda launches a central bank digital currency (CBDC) experiment.
The Ethereum Foundation announces a new initiative to enhance privacy on the network.
