Bitcoin’s dominance surges while altcoins suffer massive losses.
In a tumultuous evening of trading on Saturday, Bitcoin’s value plummeted by an additional $5,000, reaching a multi-week low of approximately $61,000.
The alternative cryptocurrency market experienced even harsher blows, with numerous assets seeing double-digit declines. The primary catalyst for this downturn was escalating tensions between Iran and Israel.
BTC’s Volatility Persists Just two days prior, Bitcoin maintained a relatively stable position above $70,000, briefly testing $71,000. However, the situation took a turn for the worse on Friday evening following statements from high-ranking officials of the US central bank, indicating no immediate plans for interest rate cuts.
In a matter of minutes, Bitcoin’s price plunged by $5,000 to $6,000, settling at $65,000. Interestingly, this decline coincided with a broader downturn in financial markets, including a 4% drop in the price of gold.
Bitcoin managed a partial recovery on Saturday morning, reaching slightly above $67,000. However, renewed tensions between Iran and Israel swiftly reversed these gains, causing another drop in the cryptocurrency’s value.
The asset hit a multi-week low of slightly under $60,000 on Bitstamp, resulting in over $700 million in liquidations. While it has since rebounded to around $65,000, the market remains volatile, particularly with limited trading opportunities.
Bitcoin’s market capitalization has shrunk by approximately $130 billion since Friday, now standing at $1.270 trillion. Concurrently, its dominance over alternative coins has increased by roughly 2%.
Altcoins face double digit losses
Altcoins Face Significant Declines As is often the case during sharp declines in Bitcoin’s value, most alternative coins also suffered losses, some even more severe over the past 48 hours.
While some assets have experienced minor recoveries, many remain deeply in the red for a second consecutive day. Several cryptocurrencies, including SOL, XRP, DOGE, TON, ADA, AVAX, SHIB, DOT, and ETH, continue to show double-digit declines.
The total cryptocurrency market capitalization dropped from nearly $2.8 trillion on Friday morning to approximately $2.330 trillion by Saturday evening. Although it has since recovered around $100 billion, the market remains down by 5% for the day.