Why is the crypto market down today?

The cryptocurrency market is bleeding on February 28, as the total market value decreased by 6.4 % to about 2.65 trillion dollars.

Many concrete factors contributed to the latest decrease in encryption prices, including:

• More than 200 billion dollars from the encryption market were eliminated within 24 hours with the escalation of American tariff wars.

• Investors are a risk amid the ongoing relationship between American stocks and encryption assets.

• The harsh resistance in 50 weeks SMA can strangle the recovery efforts.

Bitcoin leads the market decline

The encryption market drowned deeper during the Asian trading hours in early February 28, and the American customs tariff for investors fell in risk mode and enhance the demand for the dollar.

Main meals:

• US President Donald Trump He said On February 27, the proposed definitions of Canada and Mexico “in fact enter into force” as scheduled on March 4.

• Trump also confirmed that an additional 10 % tariff will be imposed on China in addition to 10 %.

• He also added that “the history of the mutual tariff on April 2 will remain in power and influence.”

• In response, Bitcoin (BTC) fell to less than $ 80,000 for the first time since November 10, as it decreased by up to 9.5 % of an altitude of 86,988 dollars on February 28 to the current price of $ 79,400.

The BTC decrease caused panic among encryption investors, as most cryptocurrencies decreased across the plate.

• ETHER (ETH) extended five days, as it decreased to 2000 dollars on February 28, which represents 10 % losses over the past 24 hours.

• XRP (XRP), Solana (Sol) and BNB (BNB) also witnessed significant losses, 10 %, 9 % and 10 %, respectively.

• Dogecoin (Doge) and Cardano (ADA) has published the largest daily losses between the 10 best origins by market value, a decrease of 11 % over the past 24 hours.

• 879 million dollars have been filtered in the past 24 hours.

• Long BTC situations, totaling $ 380.5 million per day.

• This reflects more than $ 1.25 billion classified on February 3, which accompanied a 16 % decrease in total – where the encrypted market value of all cryptocurrencies – with more than $ 570 billion eliminated from the encryption market.

• The long qualifying qualifiers indicate that the encryption market has been flooded on the upper side.

Placing risk in stocks hinders the encryption market

The constant correction in the encryption market reflects weakness in American stocks.

Main points:

• The S&P 500 decreased by 1.94 % to close today at 5,861.57 on February 27, while the NASDAQ compound decreased by 581 points (-2.75 %).

• Dow Jones index recorded its daily loss in a row, and lost 0.5 % to close the trading day on February 27 at 43,239.50.

Performing 24 hours of American stocks Source: Financial perceptions

This highlights the increasing connection between the assets of encryption and American stocks, as cryptocurrencies move along with the stock market.

Related to: When will the price of bitcoin be down?

“Over the course of 10 years, Bitcoin was seen as an invisible hedge against uncertainty, but something has been changed,” He said Capital Markets Coatator The Kobeissi Letter in a series of posts X on February 27.

Copy's message also indicated that the encryption markets may erase more than 800 billion dollars since January 20, although Trump is more supportive in history.

“This means that at the height of the bond, Bitcoin moved a walk with the S&P 500 88 % of the time.”

Total SMA turned for 50 weeks in the resistance

Today's decrease in encryption prices has witnessed, as the common market value of all encrypted currencies – the main support provided by the average 50 (SMA) is taking place on the weekly timetable.

Why do it matter:

• 50 weeks at $ 2.58 trillion is now working as an immediate resistance on the upper side, adding wind winds to the sale.

• The Weekly Relativity Index (RSI) decreased from the positive area in 56 last week to the current level at 42.

• This indicates that market conditions still prefer the downside.

• Bears is now targeting a major demand zone ranging from $ 2 trillion and 1.69 trillion dollars reached during the first week of August 2024.

• Note that both SMAS for 100 weeks and 200 weeks sit inside this area and both have been a strong support for the total since October 2023.

This article does not contain investment advice or recommendations. Each step includes investment and risk trading, and readers must conduct their own research when making a decision.