$BTC 1. Psychology of Waiting for the Fed

The market is in a “holding pattern” ahead of the upcoming Fed meeting and interest rate announcement. Many traders have paused buying, even taking slight profits, to avoid risks before new monetary policy signals.

2. Profit-taking after the previous surge

After BTC surpassed the 100,000 USD mark and ETH broke above 2,700 USD in late April – early May, a large number of positions were closed for profit. This sell-off coincided with a sharp decline in US stocks (S&P 500 futures fell by 0.6 – 0.9 %), pulling crypto back.

3. Liquidity Decline

The trading volume over the past 24 hours has decreased by about 13% compared to before, reflecting a temporary outflow of capital as investors stand aside to observe, resulting in deeper corrections.

4. Redirecting money to altcoins

Bitcoin dominance has decreased, and there are signs of capital shifting towards altcoins, causing BTC and ETH to be sold off slowly to create liquidity for smaller pairs.