Bitcoin and Ethereum prices are falling precipitously in the last 24 hours.
The price of Bitcoin has dropped by close to 6.11%, and it is now trading at $18,835. Ethereum is also exhibiting incredibly bearish movement at the current price of $1,532, which is a decrease of nearly 7.72%.
The present crypto market fall can be ascribed in large part to macroeconomic causes. According to Coinbase Research, cryptocurrencies are highly associated with global markets, particularly tech stocks and the tech-focused NASDAQ.
The price of Bitcoin plummeted as the dollar showed fresh vigor. The dollar reached a twenty-year high. The traditional market also declined in response to the strength of the dollar. Gold prices also dropped as a result of the dollar's strength.
Additionally, it is probable that investors are exercising caution before the merger. The Ethereum Merge is a monumental event that is likely to have a significant impact on cryptocurrency pricing. A successful merger may result in bullish momentum. Nonetheless, problems with Ethereum following the integration could put the market in a perilous state.
"We've been testing the Merge for maybe a year at this point," Preston Val Loon told Forbes. "We're not sleeping much, in part out of excitement and in part out of a little bit of anxiety because it is such a big deal with so much at stake," he continued.
Travis Kling, chief investment officer at Ikigai, also offered his thoughts about the imminent merger. "I consider this the most significant catalyst in crypto history in terms of its magnitude and the fact that ETH is the second largest crypto," he stated.
Now, traders are asking if it is still possible to profit from Bitcoin's fluctuating price, as the cryptocurrency has been unusually stagnant for days at approximately $20,000. MarketVector digital asset product strategist Martin Leinweber was quick to squash the notion that Bitcoin is already dead.
"Bitcoin is not dead, it's just boring at the moment, so traders are already looking for alternatives," Leinweber said, per Reuters. Also, as a consequence of bitcoin's reduced volatility, he noted an increase in trading for ether and its derivatives.
Meanwhile, even though Bitcoin has not been doing very well lately, altcoins showed strength. However, it is worth noting that almost all cryptocurrencies are going down. Cardano is down to almost 8%, while BNB is down by 6%.
MATIC of Polygon, on the other hand, is down by more than 10%. Ethereum Classic (ETC), which was moving in a very bullish way, has dropped by close to 15%.
