Crypto Price Today: Bitcoin drops below $39,700; BNB and Ethereum both lose more than 5%

Wednesday’s cryptocurrency markets saw a decline, led by Bitcoin, Ethereum, and BNB.

The largest cryptocurrency in the world, Bitcoin, dropped below $39,700 for the first price since the January 11 launch of the 11 spot Bitcoin exchange-traded fund (ETF).

Selling pressure on the cryptocurrency market is still present since Bitcoin ETFs have made it very simple to enter and exit the investment vehicle. It’s possible that traders booked profits by liquidating their holdings and took up new ones in anticipation of the next bounce. The US Federal Reserve’s announcement of a rate cut, which it hinted at the end of 2023, may be the next market mover.

After a recent dip, Bitcoin is currently experiencing a correction around $39,700, which keeps it below the critical $40,000 mark. With a strong support level at $38,500, the current trading level might draw more buyers. The next support level is anticipated to be at $37,800, while the upside resistance is located at $40,350, should this support prove ineffectual.

The value of the world’s cryptocurrency market fell 1.9% to approximately $1.55 trillion in the previous day’s transaction on Wednesday.

Ethereum was down 5.34% at $2,219 while Bitcoin was down 0.64% at $39,648. Other altcoins saw declines of more over 5%, including Polygon and BNB. A 2-4% decline was seen in Litecoin, Chainlink, Tron, Dogecoin, and Cardano.

Currently, DeFi’s total volume is $5.96 billion, or 8.04% of the 24-hour volume of the entire cryptocurrency market. At $67.7 billion, the entire value of stablecoins represents 91.31% of the 24-hour volume of the cryptocurrency market.

The largest cryptocurrency in the world, Bitcoin, had a decrease in market capitalization to $777 billion in the past day. 50.39% of the market is presently dominated by bitcoin, according to CoinMarketCap. The volume of BTC rose 3.7% to $30.5 billion in the last day.

The price of Bitcoin had a substantial decline, topping $40,000 and momentarily touching $39,500. This decline was ascribed to noteworthy sales that were impacted by the Grayscale GBTC Bitcoin ETF. With Bitcoin hovering just under $39,000 and probable price volatility between $35,000 and $45,000, investors proceed cautiously.