The cryptocurrency market grapples with significant losses following its second-worst weekly decline of 2024, driven by waning demand for Bitcoin exchange-traded funds and lingering uncertainties in monetary policies. Bitcoin plummeted by 8.1% to $58,528 on Monday, marking its largest intraday drop since April. According to Coinglass data, over $210 million in bullish crypto bets were liquidated within 12 hours, exacerbating market volatility.
Meanwhile, the top 100 digital assets collectively fell by about 5% over the past week, the sharpest decline since April, as reported by Bloomberg. Mounting concerns were further fueled by Mt. Gox’s trustee announcing upcoming Bitcoin and Bitcoin Cash repayments, prompting market participants to adopt cautious positions amidst the prevailing bearish sentiment.
Analysts warn that these developments reflect broader risk aversion, underscoring challenges for digital assets amid a fluctuating regulatory landscape and tepid investor appetite.