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Bitcoin’s price declined further from the critical $100,000 level as investors capitalized on the cryptocurrency’s post-U.S. election surge. Bitcoin was trading at $92,313.34, a 5.9% decrease, according to CoinGecko data.
Losses were also observed in other cryptocurrencies. Ether, the second-largest cryptocurrency, experienced a 4.4% decline to $3,330.29, while Solana’s SOL token experienced a 9.3% decline to $228.31. The total cryptocurrency market capitalization has decreased by $182 billion and is currently at $3.35 trillion.
“Bitcoin has been on a tear since Election Day … with very few pullbacks, but the $100,000 mark remains a formidable psychological barrier,” Mati Greenspan, founder of Quantum Economics, stated.
“The community has been eyeing this significant psychological level for years, and while breaking through now would be a major bullish signal, a brief pullback may be needed to gather momentum before the next attempt.”
Since the U.S. presidential election on Nov. 5, which culminated in the election of former White House leader Donald Trump, bitcoin has gained over 30%, despite the decline on Tuesday.
The Republican politician is yet to be inaugurated. However, excitement around Trump’s pro-crypto policy agenda in the run-up to the vote has rekindled interest in digital currency.
The announcement that U.S. Securities and Exchange Commission Chair Gary Gensler, who is responsible for the agency’s legal actions against numerous major crypto firms, will resign on January 20, the day of Trump’s inauguration, has contributed to the optimism in the crypto markets. Gensler had been guaranteed a replacement by Trump for the agency’s leadership.
