Bitcoin Faces Harsh Rejection as Altcoins Struggle

TL;DR

• Bitcoin rejection: BTC failed to sustain momentum above $90,000, tumbling to $87,000 after losing over $3,000 in value. Its market capitalization now stands at $1.730 trillion.
• Altcoin weakness: ETH retreated to $2,920 after touching $3,060, XRP slipped under the $1.90 support, and BNB fell to $837.
• Market cap decline: The total crypto market shed more than $100 billion since Monday’s peak, dropping to $3.020 trillion, though CC and Pi Network showed isolated resilience.
  

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Bitcoin’s latest rejection above $90,000 has triggered a sharp downturn, with the asset sliding to $87K and inching closer to ending the year in negative territory. The move has rattled the broader crypto market, leaving most large-cap altcoins in the red. XRP has slipped further from its $1.90 support, while Ethereum is flirting with the $2,900 threshold, underscoring the fragile sentiment across digital assets.

Volatility Fueled by CPI Data

The turbulence began late last week following the release of stronger-than-expected US CPI data for November. Bitcoin initially surged to $89,500 but was swiftly rejected, plunging to a multi-week low of $84,400 in under 12 hours. Bulls attempted to stabilize the decline, pushing Bitcoin back above $89,000. Yet, the recovery proved short-lived, as Monday’s rally to $90,400 was quickly overturned by renewed selling pressure.

Bears Regain Control

The rejection above $90,000 marked a decisive moment for bears, who drove the price of BTC down by more than $3,000. The asset now struggles at around $87,000, with its market capitalization shrinking to $1.730 trillion on CoinMarketCap. Despite the decline, Bitcoin’s dominance remains firm at over 57%, highlighting its relative strength compared to faltering altcoins. Still, the inability to sustain momentum above key resistance levels raises concerns about further downside risks.

Altcoins Under Pressure

Ethereum, which briefly touched $3,060, has retreated to $2,930 after a 1.17% daily drop. BNB, capped at $870, has slipped to $837. XRP’s failure to hold $1.90 adds to bearish sentiment, while SOL, DOGE, ADA, BCH, and ZEC have all posted daily losses of up to 2%. TAO has endured a sharper 5.5% decline, underscoring the widespread weakness across the sector.

Isolated Bright Spots

Not all tokens were affected by the downturn. CC surged 6.5% to $0.09, defying the broader trend. Pi Network’s native token also showed resilience, defending its $0.20 support with a 1.5% daily gain. Nevertheless, the overall market remains fragile, as the total crypto capitalization has shed more than $100 billion since Monday’s peak, now standing at $3.020 trillion.