Bitcoin and altcoins may continue to witness further losses and may drop to new yearly lows.
The total crypto market capitalization plummeted to $1 trillion support after Bitcoin and other top altcoins continued to shed more gains on Monday. Bitcoin is down by 1.17% from the previous day and is trading at $20,988, while Ethereum is trading at $1,572 after a 1.33% drop in prices during the last 24 hours.
Investor sentiment edges toward neutral-to-bearish | Crypto Fear and Greed Index
The lack of demand for stablecoins and negative investor sentiment could be the probable reasons for the plunge. The investors are shying away from riskier assets such as growth stocks and cryptocurrencies amidst fears of another Fed interest rate hike. Other financial markets are experiencing similar worsening conditions.