As the crypto community awaited BTC to push past its all-time high (ATH) of $73,738, with it inching closer to $72,000, the asset’s price quickly dropped to around $68,500 during the weekend. It now fluctuates over $69,000. The price drop has wiped off most of the gains BTC witnessed the past week, cooling off the momentum it was gaining to set a new ATH.
BTC’s reductions come after a massive selloff that saw over $450 million in liquidations as the US government issued its employment report stating the addition of 272,000 jobs. This surprising development caused selloff action, increasing interest rates and the dollar value. Interest rate cuts were expected instead.
With BTC’s price dropping, other cryptos also lost their gains. BTC lost about 2.5%, ETH was down 4%, and SOL saw reductions of 7%. Memecoins were down too – DOGE dropped by 8%, SHIB by 10%, and PEPE by 15%.
GME stocks dropping in price did not help the crypto market either, specifically memecoins. The stocks plunged by 40% after Roaring Kitty’s livestream. While their return to Reddit after a long time last week sparked GME stock price rises, their recent livestream sent it down. Many awaited the livestream with tremendous anticipation but felt like Roaring Kitty did not say anything of substance.
The GME price plunge definitely impacted crypto prices, as memecoins were up last week, with GME stocks surging high. The biggest meme stock and the memecoin segment are tightly interconnected. So, it is natural for memecoins to drop in value due to GME stocks, especially when GME is witnessing revived hype.
The crypto market’s sudden downturn may make it difficult for BTC to go past its ATH and rise to new levels. While the community assumed it would occur soon, thanks to the constantly growing inflow streak into BTC ETFs, that clearly was not enough. The community may have to wait some more to watch BTC set new records.
Image by Miloslav Hamřík from Pixabay
