Bitcoin, the world's leading digital asset, has fallen 10% in the last 24 hours, trading at around US$92,000.
Since the beginning of the week, when it reached its all-time high, the digital currency has already accumulated a loss of 15.8%.
This movement is related to a large volume of outflows from ETFs (investment funds that track the price of Bitcoin) in the United States.
Last Thursday (19), redemptions from these funds reached a record taiwan business mailing list value of US$ 680 million, according to data from Bloomberg.
The market instability also impacted other cryptocurrencies, such as Ethereum (ETH) and Dogecoin (DOGE), which recorded even sharper drops.
Why is Bitcoin falling?
The main reason for Bitcoin's decline is the massive outflow of ETFs, which are funds highly sought after by investors to expose their portfolios to the cryptocurrency market.
These large-scale redemptions generated selling pressure, driving down the asset's price.
Furthermore, the more rigorous stance of the Federal Reserve, the central bank of the United States, contributed to the movement.
The Fed recently indicated that the interest rate cuts planned for 2025 may be less significant than expected.
➡ US executive is convicted of WhatsApp scam involving cryptocurrencies
This signaling reduced interest in risky assets, such as cryptocurrencies.
According to experts, the market was experiencing a very fast pace of optimism, which left prices vulnerable to corrections like this.