The Crypto Market Is Slowing Down Dangerously: Should We Expect The Worst?

The bullish dynamic of the crypto market is losing momentum. While the total capitalization remains stable around $2.52 trillion, the declines recorded in Bitcoin, Ethereum, and other major players in the sector (XRP and Dogecoin) raise doubts. Faced with unbroken technical resistances, several traders fear an entry into a bearish cycle. The market, already weakened, could tip if no rebound signal manifests quickly.

Marked declines, a market under pressure

The crypto market is going through a new phase of weakness after a brief optimism spike. Bitcoin was trading around $79,496 on Friday, down by 3.1% over 24 hours.

Ethereum recorded a loss of 7.5% at $1,516, while XRP fell to $1.95 (-3.6%) and Dogecoin to $0.1535 (-4.1%).

This general decline occurs amidst a gradual disengagement of investors, manifested by a drop in volumes on platforms.

The number of active addresses decreased by 2.2%, while the volume of transactions over $100,000 increased by 30.9%. Thus, it rose from 10,153 to 11,411 in a single day, indicating a resurgence of activity from large holders.

Other data confirm this change in trend:

• 110,680 positions were liquidated over the last 24 hours, for a total amount of $337.28 million, according to Coinglass;
• Net flows on exchanges sank by 268%, indicating a net withdrawal of deposits on platforms;
• Altcoins, such as Solana (-6.5%) or Shiba Inu (-2.9%), follow the negative trend, in a global context of momentary disinterest in risky assets.

This sudden turnaround caught many operators off guard. Moreover, it provides further insight into the current fragility of the crypto momentum despite the bullish perspectives mentioned earlier in the week.

Bearish technical signals and diverging perspectives

Alongside analyst Follis, other voices in the crypto market point to risks of relapse if the current dynamic does not reverse quickly. Inmortal, another analyst followed on social media, indicates on April 10, 2025, on platform X (formerly Twitter) “that without a solid rebound here, we could test new lows“.

He also mentions a risk of liquidity compression, typical of transitional periods. For his part, Ali Martinez draws attention on April 10 on social network X to a possible “death cross” on the daily BTC chart (crossing between the 50-day moving average and the 200-day moving average) which traditionally represents a bearish signal for technical investors.

This cautious climate is reinforced by the analysis of Miles Deutscher, who observes a significant decrease in transaction volume across the market. He explains on platform X on April 10 that this decline is due to a typical compression phase of summer months.

However, he highlights that this could create inefficiencies “ready to correct quickly once volume returns“. This reading introduces a more nuanced element: a possible return of upward volatility, but only if market conditions allow it.

In this context, the short-term future of cryptos seems to hinge on a series of technical signals and investor reactions. While some anticipate a recovery once key resistances are broken, others fear an extension of the decline, or even the establishment of a new bearish cycle. One thing is certain: the apparent calm could be deceptive, and the slightest break could redraw the market balances.