On early Tuesday, Bitcoin plunged to approximately $65,000, wiping out its progress from the previous two weeks. By 0428GMT, it was trading around $65,500, marking a daily loss of 3.6%, as reported by CoinMarketCap.
Dropping by 5.3% to $3,390, Ethereum, the leading Altcoin, saw some other Altcoins experiencing even steeper declines, with prices falling by as much as 17%.
This significant selloff is interpreted by most analysts as a correction, following Bitcoin’s surge to an all-time high of $73,666 last Thursday, a record level in its 15-year history.
The subsequent day saw a pullback from this peak, leading to a pause in the cryptocurrency market rally.
Bitcoin’s rally began on January 11, following the approval of spot Bitcoin ETFs by the US Securities and Exchange Commission.
This move enabled investors, particularly financial institutions, to engage in Bitcoin trading without direct ownership.
Meanwhile, several other popular cryptocurrency tokens also experienced declines:
– BNB (Binance Coin) dropped by 7%.
– Solana saw a decline of 7.6%.
– Cardano fell by 7.2%.
– Avalanche experienced a decrease of 4.6%.
– Dogecoin plummeted by 12%.
– Shiba Inu declined by 11.6%.
– Polygon (MATIC) bucked the trend with a rise of 9.5%.
Additionally, tokens like XRP, Polkadot, Tron, Toncoin, and NEW Protocol also faced decreases in their respective values.