Why are Bitcoin, Ethereum, and other cryptos dropping?

Cryptocurrency markets faced significant selling pressure over the past 24 hours, with most major coins posting notable declines, according to data from CoinMarketCap at 10:15 am.

Bitcoin (BTC), the world’s largest cryptocurrency by market capitalisation, is down 5.49 per cent in the last 24 hours, trading at $85,916.63.

Ethereum (ETH), the second-largest crypto, also fell 6.16 per cent to $2,814.62, reflecting a widespread risk-off sentiment among investors.

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Cryptocurrency Falling

Among altcoins, XRP led the losses with a 7.48 per cent decline to $2.03. Binance Coin (BNB) fell 5.63 per cent to $825.87, while Solana (SOL) dropped 7.11 per cent to $126.69. Dogecoin (DOGE), known for its retail investor base, declined 7.96 per cent to $0.1373, and Cardano (ADA) fell 7.97 per cent to $0.3845 over the same period.

Litecoin (LTC) dropped 7.92 per cent to $77.31, while Zcash (ZEC) saw the steepest decline among the top 20 coins, plummeting 20.30 per cent to $363.30. Hedera (HBAR) also fell 7.03 per cent to $0.1334.

Other notable movements include Monero (XMR), which recorded a 0.96 per cent fall to $411.08, and Stellar (XLM), down 8.42 per cent to $0.2316. Hyperliquid (HYPE) fell 10.42 per cent to $30.64, reflecting continued volatility among mid-cap tokens.

Meanwhile, stablecoins such as Tether (USDT), USDC, and Ethena USDe (USDe) remained largely steady, showing minor fluctuations within 0.05 per cent, highlighting their role as a hedge during market turbulence.

The total 24-hour trading volumes show active investor engagement, with BTC alone recording $55.4 billion in trades and ETH around $19.5 billion. XRP saw $3.3 billion in trading volume, while BNB had $1.97 billion, according to CoinMarketCap.

The cryptocurrency market is known for its extreme volatility, with prices capable of dramatic swings in short periods. Factors influencing these movements include regulatory developments, technological advancements, investor sentiment, and broader global economic conditions.

Investors will be closely watching the coming week for fresh insights into the strength of the US economy. Key economic data could provide critical signals for policymakers as they decide how aggressively to adjust interest rates through 2026.

Adding to market uncertainty, President Donald Trump announced on Sunday that he has chosen a nominee for the next Federal Reserve chair, emphasising his focus on lower borrowing costs—a development that could impact monetary policy expectations and market sentiment.