Currently, the cryptocurrency market is experiencing some fluctuations. Although the total market capitalization of cryptocurrencies has shown overall growth this week (an increase of 4.23% compared to last week, reaching $3.75 trillion), it is true that some declines have been observed in significant cryptocurrencies in the last 24 hours.
What could be influencing these recent declines?
Profit-taking: After a period of strong gains, it is common for investors to take profits, which can lead to downward pressure on prices.
Macroeconomic uncertainty: The uncertainty surrounding the tariffs proposed by President Trump (which will take effect from August 1) and the upcoming Federal Reserve meeting may dampen risk appetite in financial markets overall, including cryptocurrencies.
Movements of the "whales" (large investors): Some large holders of Bitcoin and other cryptocurrencies have been moving their assets, which may indicate profit-taking or a portfolio rebalancing.
The cryptocurrency market is known for its high volatility. Sharp declines and quick recoveries are part of its nature.
Despite these short-term declines, the overall outlook remains optimistic for many analysts, especially with the approval of laws such as the stablecoin legislation in the U.S. and the continued institutional interest. However, the tension between profit-taking and the influx of new capital is creating a tug-of-war in the market.
