The total market capitalization of cryptocurrencies saw a slight dip of 0.14% on Wednesday, falling to $3.92 trillion amid renewed sell-offs affecting the top-tier digital assets. The decline was led by major players like Bitcoin (BTC), Ethereum (ETH), and XRP, as traders reacted to broader economic pressures and uncertainties around global trade flows.
Bitcoin, the leading cryptocurrency by market capitalization, dropped to around $118,000 after experiencing an impressive upward run in recent weeks. The previous rally had been buoyed by optimistic sentiment surrounding potential regulatory clarity in the United States.
Altcoins mirrored this retreat. Ethereum fell by 0.93%, Ripple’s XRP tumbled by 1.81%, and Solana slipped by 0.54%. Dogecoin, a favorite among meme coin enthusiasts, registered a steeper drop of 4.3%.
Despite the daily correction, Ethereum traded at $3,674 — a 16.65% increase over the past week. XRP, which recently surged to $3.45, remains up by 17% over the same period, with its value having jumped 55% over the last month.
Ethereum appears to be in a consolidation phase, trading within a range of $3,600 to $3,850 following a remarkable 80% rally since late June. This pause in upward momentum could offer a healthy correction, potentially setting the stage for another breakout. XRP’s rally to $3.6 was halted at resistance, prompting a retracement. Analysts anticipate support around $3.4 or $3, depending on the extent of selling pressure.
On the technical front, XRP’s weekly MACD suggests continued long-term bullish momentum, having recently completed a bullish crossover. Bitcoin, while posting a 10% gain this month and hitting a record $123,153, now faces formidable resistance between $123,000 and $125,000.
IG analyst Tony Sycamore noted in a research memo that approximately $11 billion in Bitcoin was offloaded by three major wallets in the past week — posing potential headwinds for further upside. With Bitcoin’s rally slowing, analysts suggest a possible shift in capital flow toward alternative digital assets as traders look for fresh momentum.
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