Urgent: Major Crypto Markets Plunge Amid Widespread Sell-Off

 

Global cryptocurrency markets plunged dramatically today, as a wave of intense selling pressure triggered steep losses across major digital assets. Bitcoin, the world’s largest cryptocurrency, dropped over 12% in a 24-hour period, falling below $56,000 at one point — its lowest level in nearly two months.

Ethereum followed suit, shedding more than 15% to trade below $3,000, while mid- and small-cap altcoins faced even steeper declines, with some losing upwards of 20–30%. The broader crypto market capitalization erased over $300 billion in value, according to data from CoinGecko.

Analysts point to a confluence of factors behind the sell-off, including rising fears of regulatory crackdowns in major economies, increased bond yields drawing investors back to traditional markets, and a sudden drop in market sentiment following disappointing macroeconomic data from the United States.

"Risk appetite has taken a major hit," said Sarah Thompson, chief market strategist at Digital Asset Insights. "With inflation concerns resurfacing and the Fed hinting at a more hawkish stance, liquidity is tightening, and crypto — often seen as a high-risk asset — is among the first to feel the impact."

Leveraged positions across major exchanges were also heavily liquidated, exacerbating the downturn. Data from Coinglass shows over $1.2 billion in long positions were wiped out in the past 24 hours.

Despite the sharp correction, some investors remain optimistic about the long-term outlook. "Pullbacks like this are not uncommon in the crypto space," said Michael Chen, a portfolio manager at BlockFuture Capital. "For those with a long-term view, this could present a strategic entry point."

Market participants will be closely watching key support levels in the coming days, as volatility remains elevated and uncertainty lingers over global monetary policy.