Crypto Market Falls 5-6% to $2.83 Trillion as Liquidations Exceed $400 Million
CIE News ·
The total cryptocurrency market capitalization fell by over 5% to 6%, declining to an aggregate valuation between $2.83 trillion and $2.85 trillion during a widespread market pullback. The sharp contraction was accompanied by severe market distress, as total liquidations rapidly mounted past the $400 million threshold. Both leading digital assets, Bitcoin and Ethereum, faced substantial downward pressure throughout the session as the broader digital asset space shed capital and adjusted to the market-wide decline.
The primary catalysts behind the pullback stemmed from broader macroeconomic pressure, driven by rising U.S. bond yields and widespread risk-off moves across global equities. As traditional equity markets shifted into risk-off territory and U.S. bond yields climbed, digital assets faced steep selling momentum. This macro environment fed directly into the crypto market structure, where downward price action triggered cascading liquidations that quickly surpassed $400 million in aggregate value. The simultaneous impact of equity weakness and rising U.S. bond yields pushed total sector valuation down to the $2.83 trillion to $2.85 trillion range, cementing a 5% to 6% reduction in market size.
Amid the downturn, Bitcoin tested critical support levels near $84,000, actively trading within a range between $83,400 and $84,100. Concurrently, Ethereum experienced a notable drop, falling to trade between $2,640 and $2,680. At present, the total digital asset market capitalization sits compressed within the $2.83 trillion to $2.85 trillion threshold following the forced closure of over $400 million in positions. With Bitcoin holding near its $84,000 support test and Ethereum navigating the $2,640 to $2,680 band, digital asset markets remain stabilized at lower valuations under the influence of global equity risk-off dynamics and elevated U.S. bond yields.