Why Is The Crypto Market Down Today?

What Happened

Decentralized perpetuals exchange Lighter launched staking as a core utility for its native LIT token. Users must now stake LIT to access the Lighter Liquidity Pool, with one LIT unlocking deposits of up to 10 USDC for new participants.

A recovery remains possible if buying interest returns during the session. Holding above $3.21 trillion would signal stability and help restore investor confidence. Sustained support at this level could enable TOTAL to rebound, limiting downside risk and positioning the crypto market for another upside attempt.

Bullish investors continue supporting Bitcoin, with BTC trading near $96,025 at the time of writing. Price action remains rangebound between $95,000 and $98,000 as the market searches for direction. The RSI indicates strengthening bullish momentum, which could drive a renewed push toward the $98,000 resistance.

Market Context

The total crypto market cap (TOTAL) registered a decline over the last 24 hours, albeit very slightly. Even though Bitcoin (BTC) maintained a positive return over the past day, altcoins led by Story (IP) registered declines.

Coinbase CEO Brian Armstrong said the company no longer supports the Senate’s revised CLARITY Act after major last-minute changes. He warned that the updated draft undermines crypto market structure and creates risks for tokenized assets, DeFi, stablecoins, and open markets.

The Crypto Market Remains Virtually Unchanged

The total crypto market cap slipped by $3 billion in the past 24 hours, a modest pullback after a sharp rally. Altcoins led the decline as short-term traders booked profits. Despite selling pressure, the limited drawdown suggests the broader market structure remains intact for now.

TOTAL is trading near $3.21 trillion, which has emerged as an immediate support zone. Failure to break the $3.26 trillion resistance capped upside momentum. If selling persists, the market cap could slide below $3.21 trillion and retest the $3.16 trillion support in the short term.

Bitcoin delivered a stronger-than-expected performance over the past 24 hours, holding firmly above the $95,000 support despite broader market pressure. This resilience highlights sustained demand for BTC during periods of uncertainty. Maintaining this level signals that buyers remain active and willing to defend key price zones.

IP price suffered a sharp sell-off over the past 24 hours, plunging 27% to trade near $2.88. The altcoin emerged as the day’s worst performer after failing to breach the critical $3.94 resistance. The rejection erased recent gains and shifted short-term momentum firmly bearish.

The failed breakout coincided with strong long-term resistance at the 200-day EMA. As IP lost momentum, it slipped below the $2.88 support, exposing downside risk. A continued decline could drag the IP price toward the $2.17 support, falling beneath the 50-day EMA and weakening recovery prospects.

A bullish alternative remains if selling pressure eases. Should IP holders pivot toward accumulation or hold positions, the price could rebound. Reclaiming $3.29 would signal renewed strength. A sustained move back toward $3.94 would restore bullish structure and invalidate the current bearish thesis.

The post Why Is The Crypto Market Down Today? appeared first on BeInCrypto.

Why It Matters

Downside risks remain if short-term holders choose to lock in profits. A wave of selling could force Bitcoin below the $95,000 support, exposing BTC to a decline toward $93,471. Losing this level would undermine bullish momentum and invalidate the short-term positive outlook.

Details

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Bitcoin Is Holding above $95,000

Story Crashes Below $3