Crypto Market Correction Sends Bitcoin and Ethereum Sharply Lower
The crypto market is in clear correction mode as of today, with total market capitalization falling to roughly $3.27 trillion — the lowest in six months. Bitcoin and Ethereum have pulled back materially from their peaks, down about 23% and 36% respectively, and many smaller tokens have followed suit as liquidity thins and volatility spikes. Traders report increased margin liquidations and a flight to stablecoins amid heightened risk-off sentiment.
Analysts point to a mix of profit-taking, macro uncertainty and derivatives positioning as contributing factors, while regulatory headlines and slowing net inflows have amplified the sell-off. For market participants this raises near-term downside risk but also potential entry points for longer-term buyers; on-chain metrics and upcoming macro data will be watched closely for signs of stabilization. Expect elevated volatility and narrower liquidity until clearer catalysts emerge.