Bitcoin Holds Steady, but ETH, XRP, and ADA Price Drop Hard
The crypto market is down today, losing over $66 billion in value in just one day. The total market cap now sits around $3.83 trillion, down from recent highs. Bitcoin is holding steady above $118,000, but most altcoins are bleeding, and investor sentiment has turned cautious.
So, what exactly caused today’s crypto pullback? Let’s break it down.
Why Crypto Market is Down Today?
1. Profit-Taking After July’s Rally
Many tokens saw impressive gains last month, and traders are now locking in profits. This natural pullback has triggered a wave of selling, especially in speculative altcoins, leading to sharp price drops across the board.
2. Liquidations From Leverage
As prices started to dip, leveraged positions in the market began to unwind. This caused a chain reaction of forced liquidations, accelerating the decline particularly for altcoins like Solana, Cardano, Dogecoin, and meme coins like Fartcoin (which dropped 15%).
Traders are nervous ahead of the upcoming Federal Reserve meeting, unsure of whether rate cuts or hawkish moves are coming. On top of that, a new U.S.–EU trade deal, though reducing tariffs to 15%, created fresh uncertainty that spilled into crypto markets.
4. Old Bitcoin Wallets Are Moving Coins
Whale activity added to the tension. Some older Bitcoin wallets moved large amounts of BTC, which often signals a shift in long-term holder behavior. Although Metaplanet bought 780 BTC above $118K, the market hasn’t shown a confident recovery yet.
5. SEC Delays Crypto ETF Decisions Again
The U.S. SEC has once again postponed decisions on key Bitcoin and Solana ETFs, pushing deadlines into September and October. For many investors hoping for institutional adoption, this delay was disappointing, and it’s showing in the market.
What’s Next For the Crypto Market?
Today’s crypto dip isn’t driven by panic but by profit-taking, regulatory delays, macroeconomic uncertainty, and whale movements. Bitcoin remains above key support, but the altcoin market is feeling the pressure.
Until confidence returns, possibly through a Fed announcement or ETF approval, investors should expect continued caution and volatility. For now, the rally has hit the pause button.
FAQs
The crypto market dropped due to a mix of profit-taking after July’s rally, liquidations of leveraged positions, uncertainty around the Federal Reserve meeting, and delays in crypto ETF approvals by the U.S. SEC. Altcoins have been hit the hardest.
The global crypto market lost over $66 billion in 24 hours, bringing the total market cap down to approximately $3.83 trillion.
Recovery depends on several factors, including the Federal Reserve’s next move, regulatory clarity, and whether Bitcoin can stay above its key support level. A breakout above $120,000 could renew bullish momentum.
No, Bitcoin is not crashing but is consolidating around $118,000. While it’s holding above key support at $117,200, further downside could occur if sentiment weakens or macro pressure increases.