The post Top 3 reasons why the crypto market is down today appeared on BitcoinEthereumNews.com.

The crypto market retreated after Thursday’s trading session, with Bitcoin falling to a low of $100,470, marking its lowest point since May 8 and 10% below its highest level this year. Below are three reasons why the crypto market was trading lower. 1. Profit taking Bitcoin (BTC) and most altcoins pulled back due to profit-taking among investors after the recent rally. BTC had climbed roughly 50% from its April low to its May high. Similarly, Ethereum jumped 100% from its April lows to the highest point in May. Many smaller coins, including Dogwifhat and Fartcoin, were up over 300%. It is common for cryptocurrencies to retreat after a strong surge.  Ryan Lee, Chief Analyst at Bitget Research, said in a Thursday note to crypto.news: “After a period of notable gains, many investors are locking in profits, which has triggered short-term sell-offs. This behavior is not unusual in bull cycles, where sharp rallies often lead to a wave of corrections as traders seek to de-risk their portfolios.” Uncertainty on Federal Reserve policy Cryptocurrencies also declined amid growing uncertainty about when the Federal Reserve will start cutting interest rates. Fed Chair Jerome Powell and other officials have indicated they are not in a rush to cut rates, contrary to suggestions from President Trump. Instead, they are monitoring the effects of tariffs on inflation and the labor market. Data released on Friday showed that the economy added 139,000 jobs in May, while the unemployment rate remained unchanged at 4.2%  The U.S. will release updated inflation data on Wednesday next week. If inflation comes in higher than expected, it could signal that the Fed will hold rates higher for longer, pressuring crypto prices. Conversely, a lower-than-expected inflation figure would raise the odds of the Fed cutting rates sooner than anticipated. Geopolitical uncertainty Bitcoin and…

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Filed under: News - @ June 7, 2025 12:19 am