Why crypto is falling now?

 Cryptocurrency market crash reason: Why  crypto is falling now

Why are cryptocurrencies falling today? This is one of the big questions in the minds of crypto investors and traders, especially after many top cryptos posted some profits this week.

                                            

                                 

Crypto Crash Update (June 2nd): After soaring to $ 1.31 this week, the volatile global crypto market cap crashes back to 1 on the final day, according to CoinMarketCap data at the time of writing (11:28 a.m.). Did. $. 23 trillion. The market capitalization of cryptocurrencies has fallen by 5% in the last 24 hours, and the prices of all top coins have risen in the last two days.

The price of Bitcoin (BTC) has fallen below $ 30,000, down 5.34% in the last 24 hours. At the time of writing, the Bitcoin price on the Global Exchange was $ 29,792.
Analysts call today's crypto market drop a "fix", but the crypto market isn't gaining momentum.

Experts say the crypto market is following the same path as the stock market and it is unlikely that traders will remain bullish on crypto.

"The crypto market followed a similar path when US stocks endured another day's retracement. The high correlation between BTC and the S & P 500 index has made traders bullish on cryptocurrencies.

"The chances of continuing are reduced," Darshan Bathija, CEO and co-founder of the crypto exchange Vauld, told FE Online.

"BTC has fallen below 30,000, which has wiped out profits over the past few days. Altcoin has also fallen in price," he said.

Low willingness to take risks:

One of the reasons for the fall in crypto prices could be a low-risk appetite for traders and investors, especially after the Terra (Luna) blunder.

"Bitcoin and most cryptocurrencies fell on Wednesday. May was tough for crypto, but BTC has seen a short bounce in the past week but has returned to $ 29,000 in the last 24 hours. This shows that buyers are not willing to take risks. We still don't know how long the bearish trend will continue to impact the market, "said co-founder and CEO of crypto investment platform Mudrex. One Edul Patel says.

What's next to Bitcoin?

Trading analysts say Bitcoin continues to move within the pattern of the descending triangle. It may be supported soon for $ 26,800. Bitcoin's next resistance could be $ 40,000.

"Bitcoin fixed almost 6% yesterday and fell below $ 30,000 again. BTC has recovered slightly over the past few days, recovering above $ 32,000, but the momentum has not continued as the dollar index regained its goals. Bitcoin's day-to-day trends continue to move in a pattern of descending triangles, "said an analyst at WazirXTradeDesk, sharing a note via email.

"The next resistance of BTC is expected to be $ 40,000 and immediate support is expected to be $ 26,800. Bitcoin will have to break $ 40,000 to see a significant rise. Until then, BTC will be $ 28,000. We may continue to integrate between $ 40,000 and $ 40,000, "they said.