Market Watch: Bitcoin Slips Below $40,000 Mark, Tether and USD Coin Record Marginal Gains in Crypto Prices Today
Recent Downturn: Bitcoin Witnesses a Drop of $1,175 (Approximately Rs. 97,635) in the Last 24 Hours
On Tuesday, January 23, Bitcoin experienced a significant downturn, marking a loss of 3.63 percent. The cryptocurrency’s value plummeted to $39,820 (approximately Rs. 33 lakh), breaching the crucial $40,000 (roughly Rs. 33 lakh) threshold for the first time in the last two months. In the preceding 24 hours, Bitcoin witnessed a decline of $1,175 (about Rs. 97,635). This downward trend had a ripple effect across the cryptocurrency market, with most digital assets registering losses.
Ether, the second-largest cryptocurrency, also faced a downturn, recording a loss of 4.04 percent on Tuesday. As of the latest data, ETH was trading at $2,336 (roughly Rs. 1.94 lakh), reflecting a decrease of $81 (about Rs. 6,730) in the past 24 hours.
The market sentiment has been impacted by concerns related to Bitcoin dropping below the $40,000 threshold, particularly affecting new investors who entered the market with substantial investments during the spot ETF announcement. These investors now find themselves facing an approximate 25 percent loss. Altcoins joined Bitcoin in the red zone during the late hours of US Monday trading, fueled by rising fears of Ethereum (ETH) slipping below the $2,000 (roughly Rs. 1.66 lakh) mark.
Contributing to the market unease was the Ethereum Foundation’s sale of 700 ETH at around $2,400 (roughly Rs. 1.99 lakh) per ETH. Historically, such sell-offs by token foundations have often signaled a local market top, adding to concerns that this could be the case before the impending Bitcoin halving trigger, according to insights from the CoinSwitch markets desk.
Cardano, Solana, Ripple, Avalanche, Tron, and Polkadot — all registered price dips on Tuesday.Other loss-making altcoins include Leo, Uniswap, Litecoin, Leo, Iota, and Qtum.
The overall market cap dropped by 2.13 percent in the last 24 hours. At the time of writing, the crypto market valuation stands at $1.58 trillion (roughly Rs. 1,31,31,214 crore), as per CoinMarketCap.
“The crypto market is witnessing a healthy pullback after a massive bull run. We may see a more stable Bitcoin as ETFs grow their AUM and drive mass adoption of the world’s largest digital asset. Top Trader Henrik Zeberg shared a new Bitcoin price prediction of $120,000 (roughly Rs. 99.7 lakh) but we will have to wait and see how the market moves in the coming weeks,” Shivam Thakral, CEO of BuyUcoin told
