Crypto Market Crash Today: Key Reasons for the Sudden Drop
: A Sharp Decline Hits Bitcoin and Altcoins
The crypto world saw a big drop on Saturday. The total market cap lost almost $291 billion at its lowest point. Bitcoin fell hard too, getting close to key support levels. Many traders are asking:
Market Snapshot: Billions Wiped Out in Hours
The total crypto market cap, often called TOTAL, plunged to a low point. It dropped nearly $291 billion during the day. Prices bounced back a bit, but the net loss still hit about $183 billion. Now, TOTAL sits around $2.63 trillion.
- Bitcoin (BTC): Trading near $78,768, down from recent highs.
- Worst Performer: River (RIVER) fell 16%, now at about $19.
- Overall Sentiment: Risk is high, with weak buying interest.
This volatility shows how fragile the market feels right now. Global risks are adding pressure.
Reason 1: US Sanctions Hit Crypto Exchanges
The biggest news? The US Treasury slapped sanctions on two crypto platforms: Zedcex and Zedxion. These are the first exchanges targeted that work in Iran’s financial system.
Why does this matter? Officials say these platforms handled billions in deals linked to Iran’s IRGC (Islamic Revolutionary Guard Corps). The US warns of more crackdowns on groups dodging sanctions.
Impact on Market:
- Fear of more regulations spreads panic.
- Traders worry about clean exchanges too.
- Deeper ties to real-world politics hurt crypto’s safe-haven image.
This move reminds everyone: Crypto isn’t free from government eyes.
Reason 2: Bitcoin’s Technical Breakdown Fuels Selling
Bitcoin broke out of a key pattern called a broadening ascending wedge. This signals a 12.6% drop target near $75,850.
BTC fell below $80,000 support. Now, the next stop is $78,363. If it breaks that, expect more pain toward $75,000.
Bull Case: A rebound needs BTC above $82,503 first, then hold $80,000 as support.
With sellers in charge, Bitcoin drags the whole
Reason 3: Broader Fears – Government Shutdown and Dollar Strength
US markets watch a possible government shutdown. This adds to panic selling.
Also, a strong US dollar hurts crypto. Recent talks of new Fed leadership picks boost the dollar. Bitcoin loses shine as an alternative asset.
Commodity swings, like sharp drops in silver, show risk-off mood everywhere. Retail traders feel the pain after a wild week.
Spotlight on Losers: River (RIVER) Leads the Fall
RIVER dropped 16.6% in 24 hours – worst for two days straight. It lost the 50-day EMA support at $19.
Next Levels:
- Downside: $11 if selling continues.
- Upside: Hold $19, break $27 to aim for $36.
Bearish market keeps altcoins like RIVER under pressure. Buyers stay away.
Positive News Ignored: Nubank’s US Bank Approval
Not all news is bad. Nubank got conditional OK from US regulators to launch Nubank N.A. They plan full launch in 18 months.
This could bring more fiat-crypto links. But in a
What’s Next? Support Levels and Recovery Paths
Bearish Outlook:
- TOTAL below $2.61T heads to $2.50T.
- BTC under $78K confirms deeper correction.
Bullish Outlook:
- TOTAL above $2.67T signals stability, up to $2.74T.
- Positive week open brings buyers back.
Watch Monday’s open. Sentiment shift could spark rebound.
How to Navigate This Dip
- Stay Calm: Volatility is normal in crypto.
- Check Supports: Use levels above for trades.
- Diversify: Don’t put all in one coin.
- Follow News: Sanctions and macro events drive moves.
The
Final Thoughts
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