The global cryptocurrency market has declined by 2% over the past 24 hours, bringing its total market capitalisation to $2.57 trillion, its lowest level in six weeks, as sustained selling pressure weighs on major digital assets.
The latest decline extends a downward trend that has persisted for nearly a month, interrupted only by brief periods of stability. The broader crypto market has now lost more than 14% of its value from its recent peak, reflecting growing uncertainty among investors.
Market analysts suggest that the next significant support level could emerge around $2.48 trillion, where the 200-day moving average is positioned. A further decline could bring the market closer to the $2.36 trillion threshold, which would represent a deeper bearish correction.
Selling pressure has been particularly pronounced among highly traded cryptocurrencies. Near Protocol led the losses with an 8.5% decline, while Dash and Aave each fell by approximately 5%.
In contrast, Tron recorded a modest gain of 1.8%, making it the strongest performer among the highlighted assets. XRP remained unchanged, while Filecoin declined by 0.8%, outperforming much of the broader market despite its losses.
Crypto Fear Index Drops to Three-Month Low
Investor confidence has weakened considerably, with the cryptocurrency market sentiment index falling to 26, just one point above the extreme fear category and its lowest reading in three months.
The sharp deterioration in sentiment indicates increasing caution among traders as falling prices and limited signs of recovery continue to influence market activity.
A comparable decline in sentiment occurred in October last year, after which the index remained in the lower half of its range for an extended period.
Despite the current pessimism, analysts believe a recovery remains possible if broader financial markets maintain stability and avoid a severe downturn comparable to the dot-com crash.
Bitcoin Tests Critical Support Near $75,000
Bitcoin has returned to its previous week’s lows, trading near $76,600 as investors assess whether established technical support levels can prevent further losses.
The cryptocurrency is approaching a significant support zone that has limited selling pressure since the second half of August. The lower boundary of this range sits just below $75,000, making it a key level for traders monitoring potential downside risks.
Technical indicators also point to the 200-day moving average near $73,000 as a stronger support level should Bitcoin fall below its current trading range.
Market conditions remain challenging, with persistent selling pressure raising the possibility that Bitcoin could test some of its most important price levels in recent months.
Without a significant positive catalyst, analysts see limited prospects for an immediate recovery, suggesting that cryptocurrency prices could remain under pressure in the near term.
The coming trading sessions could prove important for Bitcoin and the wider digital asset market, as investors monitor technical support levels, changing sentiment and developments across global financial markets.
