Profit-Taking Continues in Crypto Market as Dogecoin, Cardano’s ADA Lead Majors Slide
Crypto markets experienced a downturn on Thursday, primarily driven by profit-taking. Dogecoin (DOGE) and Cardano (ADA) led the decline among major tokens, while Bitcoin (BTC) saw minimal change over the 24-hour period. Other notable declines included XRP, Solana (SOL), and BNB Chain (BNB), each falling by approximately 1.5%. Tron (TRX) bucked the trend, experiencing a 1.9% increase.
Anna Liu, CEO of HashKey Tokenization, attributed the current Bitcoin price dip to prevailing macroeconomic and policy uncertainties impacting risk-on assets. Despite acknowledging the inherent volatility in the cryptocurrency market, Liu expressed long-term optimism regarding Bitcoin as a strategic investment. She cited recent inflows into Bitcoin and Ethereum ETFs as evidence of continued institutional interest, despite short-term market challenges.
Market sentiment currently resides in the “greed” zone, with the Crypto Fear & Greed Index registering at 62, although a slight decrease from the previous day is observed. Alex Kuptsikevich, FxPro’s chief market analyst, interprets Bitcoin’s rebound from near $103,000 on May 31 as a potential catalyst for further upward movement, possibly exceeding $130,000. However, Ether (ETH) faces resistance at its 200-day moving average, and a decisive break above $2,700 would be a significant bullish signal.
CryptoQuant’s analysis suggests a potential Bitcoin correction to $96,700, aligning with the average acquisition cost for short-term holders. This analysis suggests a possible downward correction based on the average purchase price of short-term investors. The overall market picture indicates a complex interplay of profit-taking, macroeconomic factors, and institutional investment strategies shaping the current trajectory of major cryptocurrencies. While short-term volatility persists, longer-term perspectives remain positive for some analysts.
