Bitcoin Dips Below $92,000 Weighing Down Crypto Market
Bitcoin continues its downward trajectory just days before the inauguration of President-elect Donald Trump, slipping below the $92,000 mark. On Monday morning, the leading cryptocurrency briefly dipped below $91,000 before staging a modest recovery.
This recent pullback is largely attributed to growing concerns over the US Federal Reserve’s tightening stance, with speculation mounting that its window for additional interest rate cuts may be closing. The decline has reverberated through the broader crypto market, leading to losses across various digital assets.
As of 2:34 p.m. Nigerian time on Monday, Bitcoin had shed approximately 3%, trading at $91,400.96. This marks a significant drop from its peak of $108,316 just last month. By Tuesday morning in Nigeria, Bitcoin had nudged up slightly, sitting at $94,800. Its post-election rally, which saw gains of around 40%, has now slowed considerably.
Other major cryptocurrencies were not immune to the downtrend. Ethereum’s Ether saw a drop of over 5%, now trading at $3,083.01. Solana, a once-promising contender, slid nearly 6%, while Dogecoin, the meme coin backed by Elon Musk, saw a decline of almost 5%. Cardano, meanwhile, took the hardest hit, plummeting nearly 8%.
With uncertainty surrounding global interest rate policies and a volatile crypto landscape, investors are bracing for a bumpy ride in the coming weeks.
