Bitcoin has curbed additional significant declines after its sharp drop below US$26,000 last week.
Over the weekend, the BTC/USDT pair found some stability, anchoring at the 26k mark. However, this provides scant consolation for investors, as the leading cryptocurrency has seen a decline of over 11% compared to the previous week.
Currently, bitcoin’s price stands slightly above US$26,100, with Binance indicating a resistance level at US$26,250.
Recent economic uncertainties in China, subdued trading activity, and prevalent concerns in an inflation-driven environment have all impacted the cryptocurrency markets.
The decision by Elon Musk’s SpaceX to liquidate its Bitcoin portfolio has further intensified the situation.
Bitcoin’s market share has also experienced a downturn, decreasing to 49.16% from 50.5% just a week ago.
This dominance metric, which evaluates bitcoin’s market capitalization in relation to the total cryptocurrency market cap, serves as an indicator of confidence in bitcoin as a digital currency. A figure below 50% can be interpreted as a signal of vulnerability for the leading digital asset.
In line with this, the Crypto Fear & Greed Index, which considers factors like bitcoin’s dominance, volatility, and trading volumes to assess market sentiment, currently sits decisively in the “fear” zone.
Ethereum (ETH), the world’s second-largest cryptocurrency, experienced a 1% decline on Monday, settling at US$1,667 following this morning’s trading in Asia.
Nonetheless, when looking at weekly figures, ETH is performing better than BTC with only a 9.5% drop.
In the wider altcoin market, there are notable declines: Ripple (XRP) saw a 17% weekly decrease, Dogecoin (DOGE) dropped 15%, Solana (SOL) fell 15%, Binance’s BNB token decreased by 12%, and Litecoin (LTC) declined by 19%.
The overall cryptocurrency market capitalization is currently at US$1.05 trillion, after a slight 0.2% reduction overnight.
