The start of the week is a real disaster for global financial markets, with acute repercussions in the crypto sector. The dizzying decline of Asian stock indices has triggered a domino effect, dragging Bitcoin and altcoins into a deep abyss.
Bitcoin below 50k
In particular, Bitcoin has suffered one of the most severe corrections in recent months, falling below the psychological threshold of $50k, with losses that have exceeded 13%. A negative trend that has also involved Ethereum more heavily, with a decline in the last 24 hours of 23%, contributing significantly to the collapse of the overall capitalization of the crypto market, which fell by 11% to approximately 1.84 trillion dollars at the time of typing.
Impact of macroeconomic factors
Unlike previous corrections, characterized by specific events related to the crypto world, the current scenario is deeply influenced by macroeconomic factors. The strong correlation between traditional markets and the crypto sector has been clearly evident, with the negative performance of Asian indices triggering a chain reaction.
In particular, the announcement by the Central Bank of Japan of an interest rate increase caused the Nikkei 225 to collapse, with losses exceeding 10%. An alarming signal that has fueled investors' concerns about the monetary policy orientation of the main central banks.
The Fed and risk aversion
The Federal Reserve's decision to keep interest rates unchanged, while avoiding providing clear indications on possible future cuts, has further exacerbated risk aversion. Risky assets, such as cryptocurrencies, have been among the hardest hit by this wave of selling. Investors in these situations usually opt for assets considered safer such as gold and government bonds.
In the last few hours, risk aversion seems to be hitting on a large scale, with devastating effects, especially in the derivatives market. Futures on the Chicago Mercantile Exchange are trading essentially at spot prices (on Binance, the annualized quarterly premium has dropped to 3.3%), and the yield on U.S. Treasuries would be higher today.
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