Bitcoin Rejected at $40,000 as Ethereum Fails at $3,000 (Market Watch)

The crypto market cap has declined by $100 billion in a day as bitcoin slipped beneath $40,000 and the altcoins failed to increase any further.

Despite briefly surpassing $40,000, bitcoin has failed to remain above that level and has retraced by a few thousand dollars. Most alternative coins are also down on a 24-hour scale, with the entire crypto market losing $100 billion since yesterday.

BTC Fails at $40K

After the latest adverse developments in the crypto market prompted by more FUD from China during the weekend, bitcoin started its gradual recovery on Monday. Following the Sunday evening dip to $31,000, BTC reclaimed over $5,000 in hours.

The primary cryptocurrency kept climbing and jumped to $40,000, as reported yesterday. The bulls took it to a daily high of just shy of $41,000. However, they failed to continue upwards, and BTC started to retrace shortly after.

The cryptocurrency firstly fell below $40,000 amid more recent reports that Iran has banned BTC mining until September 22nd, ahead of its highest energy consumption season. Bitcoin kept falling and dipped to $37,400 (on Bitstamp).

Despite recovering $1,000 since then, the asset is still about 4% down on a 24-hour scale.

BTCUSD. Source: TradingView

Altcoins in Red

The alternative coins were also riding high yesterday, with Ethereum closing down on $3,000 and BNB nearing $400. However, the situation has changed to some extent, and most alts are in red today.

ETH failed to breach $3,000 and has retraced by 3.5% to just over $2,700. BNB is down by 2.6% to $360. Cardano (-2%), XRP (-4%), DOGE (-5.5%), Polkadot (-4%), and Bitcoin Cash (-4%) have also dipped since yesterday.

In contrast, Uniswap is 3% up, while Chainlink had increased by roughly 5% to over $32.

Cryptocurrency Market Overview. Source: Quantify Crypto
Cryptocurrency Market Overview. Source: Quantify Crypto

More fluctuations come from lower- and mid-cap altcoins. From one side, Enjin Coin (32%), Livepeer (15%), Chiliz (13%), and Stacks (11%) have marked double-digit gains. From the other, Revain (-13%), Fantom (-13%), Harmony (-12%), Shiba Inu (-12%), and Holo (-11%) have lost substantial chunks of value.

The cumulative market cap of all crypto assets has dropped by $100 billion since yesterday to $1.7 trillion.

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