Bitcoin Market Cap Falls Below $1 trillion as Selling Intensifies March 25, 2021 March 25, 2021 Kelly Cromley http://1AZFjzw2#Nwf63pYaMWq#xIY
Bitcoin NewsMarch 25, 2021 by Kelly Cromley

Bitcoin Market Cap Falls Below $1 trillion as Selling Intensifies

As Bitcoin (BTC) continues to see rising selling pressure, its market cap has fallen below $1 trillion again. The third key price correction in the prevailing bull market is intensifying and prices have already eroded by 12.5% from their all-time peak of $60,100 on March 13.

As per CoinGecko, the market cap of Bitcoin is presently $980 billion, reflecting an erosion of $140 billion in the last seven days since past Thursday, March 18. The downtrend has come only days after analyst Willy Woo forecast that its aggregate market cap will not decline below these levels once again.

The market cap of Bitcoin crossed a trillion dollars for the first time on February 19, but was unable to stay at those levels. Selling pressure pushed the market cap below the psychological mark of $1 trillion in a span of four days. The second time it breached ten figures was on March 9 and it stood above the landmark level until today’s decline.

The aggregate market cap of the cryptocurrency market is presently $1.65 trillion, as per CoinGecko. The market cap has declined by $180 billion (or ~10%) since March 22. Another major reason for the decline could be profit booking as assumed by analyst Josh Rager who pointed out that unrealized profits cannot be counted as profits until they reach the bank.

Citing MicroStrategy CEO Michael Saylor whose company has been acquiring large volumes of Bitcoin for the past few months, he said:

There have been a lot of signals confirming that the retracement will continue. Analytics provider Glassnode utilized the risk reserve metric, which estimates optimism of long-term holders in comparison to Bitcoin’s price, to indicate that environment is almost the same as the second-half or final stages of a bull market.

CryptoQuant, in the meantime, studied the flow of Bitcoins to and from exchanges to forecast that it would take some more days for precisely calculating the overall demand-supply scenario. When writing this article, Bitcoin was trading at $52,000, down 4% in the last 24 hours as fear, uncertainty and doubt (FUD) seems to take control over the crypto market.

AuthorKelly Cromley

Kelly is our in house crytpto researcher, delving into the stories which matter from blockchains being used in the real world to new ico coming out.