#MarketCorrection $BTC $ETH Cryptocurrency Market Drops Nearly 6% Amid USD Liquidity Contraction and Long Liquidations
The crypto market experienced a sharp decline of 5.8% within 24 hours, reducing the overall market cap to approximately $2.89 trillion. Almost all top coins, including Bitcoin and Ethereum, dropped significantly, driven mainly by macroeconomic factors such as a $300 billion contraction in USD liquidity rather than issues intrinsic to cryptocurrencies themselves. This decline led to substantial long liquidations in Bitcoin, heightening downward price pressure, and pushing market sentiment into extreme fear.
Execution Strategy: Investors should maintain current positions, avoiding new entry until more definitive signs of market stabilization occur (e.g., BTC reclaiming and sustaining above $83,500 with volume confirmation). Use trailing stops to protect existing gains and rebalance portfolios to reduce concentration risk. #marketdecline
