“Given the Mt Gox announcement, it seems there are market participants positioning themselves short,” Stefan von Haenisch, head of trading at OSL SG Pte. “Crypto markets struggling to catch a bid at the moment.”
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The cracks in crypto come amid doubts about the U.S. Federal Reserve’s scope to cut interest rates quickly from a two-decade high. For some analysts, the retreat in digital assets is a warning sign for broader risk appetite.
The current crypto market dynamic is “characterized by low volatility, soft volumes, and orderbooks getting unbalanced when prices start to move to the edges of their range,” David Lawant, research head at FalconX, wrote in a note.
The drops in some corners are particularly notable: the run of weekly declines for Ether and Solana are the longest since last year and 2022 respectively.
