There was some positive movement in the cryptocurrency ecosystem over the last few days. However, today was a bit rough for the token. Some slumps have been noticed across the market today.
According to market experts, the crypto landscape experienced a notable downturn due to the BTC pullback. BTC was leading an epic rally at the beginning of the week, but the pace has gradually dampened.
Pan-Industry Pullback
As soon as BTC pulled back, altcoins crashed. Leading coins like XRP and SOL recorded epic pullbacks. Most altcoins dropped by 5% in the last few hours, sending the market into a defensive mode.
This quick shift in investor sentiment is due to the rough patch that gripped the landscape in the last few months. As of now, the market’s fear/greed matrix is not yet in chaos. However, it is soon reaching a stage where the fear of a crash could grip the market, leading to a flash event.
While BTC is still well above the $100k mark, most altcoins are not that lucky or have faced greater losses. XRP has allegedly dropped by at least 5% and is currently trading for $2.47. Technical analysis says that the token has sunk below the 50-day EMA.
On the other hand, SOL has fallen to $170 and faced a greater loss of 5.44%. Experts believe that SOL price action is a strong indicator of the situation. Therefore, other blockchains like ETH and BNB have also followed suit.
Is there another bearish cycle coming, or is this just a phase?
