Crypto Market Witnesses 5% Decline as Solana and Cardano Tumble; Bitcoin Grapples with Challenges

Author : Elisabeth Louise | Published On : 24 Jan 2024

Solana and Cardano, two prominent digital currencies, have recently experienced a 5% decline in value, mirroring the broader uncertainties in the cryptocurrency market. This downward trend, reflecting a 2.86% drop in the liquid index, is closely linked to the heightened volatility of Bitcoin. The overall market unease stems from concerns about potential large-scale Bitcoin sales, exacerbated by the recent loss of support at the $41,000 level. Analysts predict a possible further decrease to around $38,000 in the coming weeks, amplifying the impact on other cryptocurrencies.

Within the Solana network, major tokens such as Pyth Network, JITO, and Bonk, alongside Solana itself, have recorded substantial trading volumes. Solana, with a staggering volume of $2.87 billion, leads the pack, providing valuable insights into investor activities and preferences within the Solana ecosystem.

Grayscale's GBTC Bitcoin ETF activities also contribute to the market's unease. The movement of over $400 million worth of Bitcoin to Coinbase Prime is seen as a potential precursor to a significant sale, further influencing the current bearish sentiment in the market. This reinforces the interconnected nature of various digital assets and the significant impact of Bitcoin on the broader crypto landscape.