Bitcoin (BTC USD) and Ethereum (ETH USD) drag crypto market cap down to $2.24 trillion in brutal selloff - here's what traders need to know

Crypto market crash today: The crypto market is continuing its downward trend, with total market capitalization falling to $2.24 trillion, marking a 1.98% decline over the past 24 hours. Despite the drop in valuations, trading activity has increased, with 24-hour crypto volume rising 7.82% to $144.64 billion, as per a Blockchain Reporter report.

Bitcoin (BTC USD) and Ethereum (ETH USD) Drag Market Lower as Market Cap Shrinks

Bitcoin (BTC) is trading at $64,435.40, down 2.90%, while maintaining a 57.5% market dominance and Ethereum (ETH) is also under pressure, trading at $1,807.50, reflecting a 1.80% decline, with market dominance at 9.7%.

The weakness in the two largest crypto assets has contributed significantly to the overall contraction in total crypto market capitalization.

Altcoins Add Pressure as Broader Crypto Market Cap Falls

The broader altcoin market has also seen steep losses.

Several major tokens including SOL, XRP, ADA, BNB, DOGE, AVAX, LINK, and others have dropped sharply, many recording significant daily declines.

Ethereum briefly touched lower levels earlier in the session, while several altcoins hit multi-month or multi-year lows before small rebounds.

Despite the red market, a few tokens such as WLD showed strong gains during the downturn.

Crypto Market Cap Loses Billions Amid Heavy Liquidations

The total crypto market cap has fallen further during the ongoing selloff, with reports showing a drop of around $140 billion in a single day at certain points, as per a Crypto Potato report.

Bitcoin also saw significant volatility, briefly falling below $62,000 before recovering slightly, while still showing a 14% weekly decline.

Market liquidations have crossed $1.6 billion, adding further pressure across digital assets.

DeFi Market Cap and TVL Also Decline

The decentralized finance sector has not been spared from the downturn.

Total DeFi TVL has dropped 2.42% to $73.539 billion.

Lido, the largest DeFi protocol by TVL, is down 4.89% at $15.761 billion, reflecting broader weakness across the sector.

Fear Dominates as Crypto Market Cap Faces Continued Pressure

Even the sentiment has weakened sharply, with the Crypto Fear & Greed Index at 21, signaling “Fear” among market participants, as per the Blockchain Reporter report. With sentiment firmly in “Fear” territory and market cap declining across multiple segments, both major assets and altcoins are contributing to the ongoing downturn.

Despite short-term recoveries in some tokens, overall market capitalization continues to reflect sustained selling pressure.

FAQs

What is the current crypto market cap?
It stands at around $2.24 trillion.

What is the Fear & Greed Index showing?
It is at 21, indicating “Fear.”