Bitcoin has experienced a 4.3% drop in trading over the past 24 hours. This decline comes after a recent rebound in which multiple assets in the cryptocurrency market recorded double-digit gains. Despite reaching a high level, Bitcoin faced a 4% decline, trading at $63,250 at the time of writing.
As a result, the crypto market lost over $79 billion in valuation over the past day, bringing the global crypto market cap to $2.243 trillion. One of the main factors contributing to this sudden pullback is a surge in selloffs, as market participants rushed to exit the market at breakeven after the rebound. The total volume across the market increased to $121 billion, indicating a growth in trading activity.
During a market downturn, an increase in trade volume typically suggests a rise in selloffs. Despite a slight drop, the volume has remained above the $100 billion mark, currently amounting to $112.7 billion. This figure indicates a mix of increased derivatives trades and a prevailing bearish sentiment.
To shift the short-term sentiments from bearish to bullish, Bitcoin needs to break above the 50-day EMA at $64,735. This level is seen as the key point for a potential shift in market sentiment.
