The total value of the #cryptocurrency #market #fell 10% overnight, and crypto investors woke up to a red morning. Although there has been a general decrease in the market especially on Sundays recently, it is seen that the effects of this time are much more. So what are the reasons or reasons behind this decline?
🚨The Reason That Caused the Crypto Money Market to Decline
The main reason behind this decline in the cryptocurrency market could be a single tweet and the #FUD that was created by it. Sharing his last-minute developments , #FXHedge started to be seen as the main reason behind this situation with a tweet he posted at the moments of acceleration.
According to information provided by FXHedge, the US Department of the #Treasury will take action against several financial institutions that use cryptocurrencies to launder money. This actually means that the cryptocurrency industry in general is under a bad influence. Although FXHedge bases its claim on anonymous sources, looking at the moment of the cryptocurrency industry decline, it seems that this may actually be the root cause.
Looking at the image below, it is seen how hard the decline has become as of the moment the tweet was posted, and the total value of the crypto money market has been pulled up to $ 1.8 trillion. Although no confirmation has yet been received from the US on this issue, it is likely that whales also accompanied the decline.
Funding rates for futures in cryptocurrency exchanges have reached record levels in recent weeks, and it is known that whenever there is an increase above 0.10%, there is a sharp decline. When this inflation is combined with a negative news, it may be normal for the price to react like this.
Despite this, the cryptocurrency market has recovered from the bottom and the Bitcoin price is seen as $ 56,000 as of the time of this writing.