Crypto Market Cap Drops $100B Over the Weekend as Prices Slide
Amid escalating tensions in the Middle East, Bitcoin saw a sharp correction of around $4,000.
Bitcoin lost the gains it had built up at the end of the previous trading week. On Friday, it briefly hit a new high since early February above $78,000, but by Monday morning it had fallen below $74,000.
On Friday evening, Iran announced the full reopening of the Strait of Hormuz for commercial shipping during a ceasefire with the US. Following this, oil prices dropped below $90 per barrel and cryptocurrencies rallied, with Bitcoin reaching $78,200. However, the weekend escalation reversed the momentum.
On Saturday, Iran reasserted military control over the Strait of Hormuz, accusing the US of “piracy and maritime aggression under the pretext of a blockade.” On April 19, the US Navy struck an Iranian-flagged cargo ship. Oil prices jumped nearly 8% at the start of trading on April 20.
Bitcoin briefly dropped to $73,800 overnight on Monday and was trading around $74,600 at 11:00. It is down 4.6% from Friday’s peak and 0.6% over the past 24 hours.
The total cryptocurrency market capitalization fell by $100 billion over the weekend, dropping 3.8% from $2.63 trillion to $2.53 trillion.
Ethereum fell from $2,460 to $2,290, down nearly 7% over three days.
Oil volatility also spilled into crypto markets, with Hyperliquid’s perpetual oil futures volume briefly exceeding $1.3 billion in a single day.
Among the top 100 cryptocurrencies, edgeX gained 11%, while Mantle dropped 6%, making it the worst performer.
US Bitcoin spot ETFs recorded $996 million in net inflows for the week, reaching $1.62 billion since the start of April, according to SoSoValue. Ethereum ETFs saw $275 million in weekly inflows and $384 million month-to-date.
The Crypto Fear & Greed Index moved out of “extreme fear” territory, rising to 29/100 — its highest level since January 28. The market has remained in “fear” for three consecutive days, but the increase suggests reduced selling pressure from investors.
See also: "Cryptocurrencies recover in the U.S., but gold remains the top priority"
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