The cryptocurrency market experienced a significant decline on December 18, with total market capitalization dropping approximately 3% to around $3.65 trillion.
This downturn is part of a broader correction that began on December 15 when Bitcoin fell from its all-time high of $108,364.
Other major cryptocurrencies, including Ether, Dogecoin, Cardano, and Tron, also faced significant losses.
The decline in the crypto market is influenced by a risk-off sentiment in the broader financial landscape, with lackluster performance in U.S. equities and concerns about interest rate cuts.
Additionally, there is a bearish divergence between the price of total market capitalization and the relative strength index (RSI), indicating a potential reversal in the prevailing uptrend.
Investors are closely monitoring these developments to understand the future trajectory of the cryptocurrency market.