Cryptocurrency Market Sees Largest Weekly Decline Since FTX Collapse

The cryptocurrency market has seen significant fluctuations over the past week, with Bitcoin and Ethereum experiencing their largest weekly declines since the FTX collapse.

According to recent data, Bitcoin prices have dropped by 17.3%, while Ethereum prices have plummeted by 22%. This has led to a substantial reduction in market capitalization, amounting to $390 billion.

Market analysts attribute this downturn to minor sales by Strategy and a shift of capital towards AI stocks. This development comes amid an ongoing risk-off sentiment in global markets, which has significantly impacted digital assets.

The liquidation of approximately $7 billion in leveraged positions has further exacerbated market turmoil, indicating forced selling rather than isolated market corrections.