Crypto Market Sees Sharp Decline

Cryptocurrency Market Capitalization Falls

The total cryptocurrency market capitalization fell to approximately $2.13 trillion, representing a sharp 14.5% downward trend week-over-week. Bitcoin (BTC), the market’s largest asset, dropped 2.56% over the last 24 hours to trade at $61,224, fluctuating tightly within a daily range of $60,755 to $62,895.

Analysts tie the downward momentum directly to intense investor anxiety over the upcoming U.S. Consumer Price Index (CPI) inflation report, which determines the trajectory of Federal Reserve interest rate policies. High interest rates have continuously choked market liquidity all year, dampening institutional appetite for risk-heavy digital assets.

Major alternative coins mirrored Bitcoin’s weakness across the board during the morning session. Ethereum (ETH) dropped nearly 3.9% over the 24-hour window, slipping down to $1,619. Binance Coin (BNB) followed a matching trajectory, sliding roughly 3% to settle at $586.45.

Solana (SOL) shed 4.66% of its value to trade at $63.99, wiping out its weekend recovery despite massive institutional tailwinds including new commitments from Visa and BlackRock. XRP slid by 3.64%, moving down to the $1.12 mark. Meanwhile, the prominent meme token Dogecoin (DOGE) lost 3.71% of its value over the 24-hour timeframe, slipping into the number 11 market cap spot at $0.083.

While mega-cap tokens registered consistent losses, some low-cap assets bucked the macro trend entirely. Stratis (STRAX) posted a 59% single-day gain, and Stargate Finance (STG) advanced 57% during the same 24-hour window.

The market contraction occurred alongside a major security breach within the broader ecosystem. On Wednesday, the digital identity network Humanity Protocol confirmed a $36 million exploit, which resulted from stolen private keys via a compromised corporate laptop, causing its underlying token to lose nearly all of its market value.

Original reporting: Tampa Free Press — read the source article.