The crypto industry experienced a new high in its market cap for the year 2023 on 24 October, as the industry recorded a massive price pump for seven straight days, following which the crypto market traded sideways for the third consecutive day and recorded a minor correction of roughly 1% in the past day.
Why Are The Top Tokens Losing Value?
The BTC price had displayed a massive price action this month by adding over 16% in its value during the past week and totaling gains of over 30% for this month. Further, Bitcoin price continues to hover around the $34,100 level, with a dip of over 1.5% in value compared to the past day.
The Resistance/Support level at $31,000 plays an important role in the price of Bitcoin as if the star crypto falls below this level, the market may experience a significant trend reversal.
Ethereum price bleeds more as the leader of altcoins has recorded a dip of over 3% within 24 hours. ETH bears have successfully pulled back the price below its key resistance level, resulting in the coin losing its hold over the $1,800 mark.
Polygon Labs launched its POL token on the Ethereum network, which will replace the MATIC gas token in the coming time, following the news, the Polygon price has lost over 5% in value.
Possible Explanation For The Price Drop:
One of the possible reasons for the crypto space to record a drop today is that the market is undergoing correction after the rapid growth it has experienced during the past week.
The crypto industry seems to cool from its bullish streak as major altcoins are experiencing corrections in their respective values. The market sentiments to date indicate a bullish sentiment, indicating the possibility of the market experiencing another jump in the coming time.
The crypto industry is on the verge of concluding the month on a positive note and continuing to repeat the historic market sentiments and record the month of October as “Uptober,” as the market has gained significant momentum during the month.