Crypto Market Sheds 5% in 24 Hours as Coins Lose Key Support

The crypto market is seeing a lot of price decreases as the week starts. Not one of the best ways to open a new intraweek session as it sheds 5% of its value in the last 24 hours. With most cryptocurrencies dipping, we may see further decrease in the global cryptocurrency market cap.

The bears are grinning as most assets are returning to levels they reclaimed a few days back. While many wonder about the cause of the most recent downtrend, it is important to bear in mind that trading volume is constant.

Over the last 24 hours, the industry’s trading volume shuffled constantly between $56 billion and $48 billion. We may conclude that the current downtrend was induced by large HODlers.

One reason for selling off their assets was in anticipation of a possible hike in interest as the Federal Reserve Committee will have a meeting on February 1. This trend affected major cryptos as most are down by more than 4%.

One of the most-affected coins was Axie Infinity, as it lost more than 12%. It dipped to a low of $10.4 and may retest the $10 support if the pattern continues.