Following a brief Christmas rally, Bitcoin and Ethereum fell on Tuesday morning, falling below $50,000 and $4,000, respectively, as crypto markets followed suit.
Bitcoin and Ethereum falls by 4%
Bitcoin investors had reason to rejoice over the holidays, as the benchmark cryptocurrency soared above $50,000 last Thursday, before settling above $51,000 on Christmas Eve.
Bitcoin hit a three-week high of $52,050 on Monday evening, despite a brief dip below $50,000 on Sunday.
However, the bullish trend came to an end when an attempt to settle above the resistance level failed.
Bitcoin’s price fell by 4% in the following hours, to an intraday low of $48,700. According to CoinGecko, despite a recovery to $49,101 by press time, the industry’s leading crypto is still down 3.6 percent over the last 24 hours.
After failing to break through the $4,120 resistance level, Ethereum, the second-largest cryptocurrency by market capitalization, followed a similar pattern. It also dropped by 4%, to $3,878.
At press time, ETH was trading at $3,905, down 3.9 percent in the previous 24 hours.
Crypto markets follow Bitcoin
The vast majority of other cryptocurrencies are also in decline, with Terra’s LUNA taking the biggest hit.
LUNA has been on fire in recent weeks, reaching a new all-time high of $103 on Monday. According to CoinGecko, the token is currently trading at around $89.2, down 9.9% on the day due to market volatility.
Polkadot is down 7.5 percent among the top ten cryptocurrencies, followed by Cardano, Solana, and XRP, which all lost between 3 and 6 percent.
The sole asset to keep its footing on the daily chart is Binance Coin (BNB). BNB fell to $549 after reaching an intraday high of $571 but is still up 0.3 percent in the last 24 hours.
All digital assets have a combined market cap of $2.43 trillion, down 2.5 percent from $2.57 trillion on Monday.
