The recent weakness in the cryptocurrency market is not due to its own inherent structural problems, but is closely related to the overall decline of the Nasdaq index.
This external shock rippled through the entire financial ecosystem, causing crypto assets to move lower in tandem with traditional tech stocks. Through in-depth analysis of on-chain data, it can be found that the main driving force of this round of decline came from the significant correction of Nasdaq, which severely hit market confidence and changed market dynamics.
As cryptocurrencies play an increasingly important role in the global financial system, their relevance to traditional financial markets is becoming increasingly close. When major stock indexes such as the Nasdaq suffer sharp declines, it often triggers widespread market panic, prompting investors to retreat from risky assets such as stocks and digital assets.
This massive selling pressure has had a significant impact on the cryptocurrency market, although its intrinsic value has not fundamentally changed. In short, the cryptocurrency market is going through a storm caused by external factors, and investors need to maintain patience and a long-term investment perspective