Bitcoin and altcoin projects have lost momentum in the past 24 hours. He came under pressure again ahead of the US House of Representatives Speaker Nancy Pelosi’s visit to Taiwan. Meanwhile, tensions between the US and China increase. Also, the $200 million Nomad hack and the $300 million Forsage pyramid scam also put pressure on the markets. Here are the details and expectations…
Bitcoin and altcoins affected by recent developments
According to the newspaper of the Chinese Communist Party, the Chinese government is preparing “measures, including military actions.” As a result of the anticipated discussions and escalations, traders faced increased volatility. In the midst of this volatile market, they started to withdraw capital from the market. They also increased their short positions. Bitcoin (BTC) price is trading at $22,866, down 2% in the last 24 hours. The Ethereum (ETH) price, on the other hand, is down 6%. It is currently trading above the key psychological level at $1,583.
Nancy Pelosi, Speaker of the US House of Representatives; He plans to meet with government officials in Singapore, Taiwan, Malaysia, Japan and South Korea. During his visit to Singapore on Monday, Singaporean officials asserted the importance of stable US-China relations for regional peace and security. Pelosi’s visit to Taiwan, along with rising military rhetoric from the three countries, increases tensions between the US and China. Chinese; He warned his military not to “stand idle” if Nancy Pelosi visited Taiwan. In response, the US and Taiwan moved the military to the Taiwan border and straits. Hu Xijin, editor of the Global Times, a tabloid newspaper of the Chinese Communist Party, said in a tweet:
As far as I know, Beijing in response to Pelosi’s possible visit to Taiwan; took a number of countermeasures, including military actions.
Tensions lowered prices
Rising tensions brought the stock market and crypto market down at the same time due to the correlation between them. That is, it causes the capital markets to fall. The crypto market cap is down 3 percent in the last 24 hours as market sentiment shifts. Bitcoin (BTC) price has dropped almost 2% in the last 24 hours. The price moved closer to $22.8k, the 200-week moving average (WMA) level. According to experts, if the BTC price drops below the key level, a drop to $ 20 thousand can be seen.
On the other hand, Ethereum (ETH) price is above the key $1500 psychological level. However, it fell by 6 percent. ETH’s drop below the $1,500 level carries selling risks, according to experts. Meanwhile cryptocoin.com As we reported, the Nomad token bridge was hacked for approximately $200 million. A recent change to smart contracts has caused hackers to withdraw money from the bridge.
Additionally, the SEC indicted 11 people for allegedly running the Forsage pyramid scheme, which raised more than $300 million from individual investors. According to many, both these events are putting pressure on the crypto market. Traders began withdrawing capital from the market or short positions amid increased volatility.
