From NASDAQ.: 2024-04-12 17:01:58

The crypto market experienced a sharp decline on Friday, with Bitcoin dropping $4,000 to $66,440, Ethereum down 9% to $3,216, and Dogecoin plunging 14.2%. This sudden nosedive began around noon ET and was fueled by liquidations of long positions totaling $668 million in the past four hours.

Volatility in the crypto market has been exacerbated by a lack of regulatory clarity and increased interest rates due to higher-than-expected inflation. The SEC issued a Wells notice to Uniswap, hinting at potential legal action. The crash on Friday impacted not only major cryptocurrencies but smaller tokens as well, raising concerns about the week ahead.

Investors may be seeking safer alternatives with rising interest rates and earnings season approaching, leading to potentially increased volatility in the cryptocurrency market. While Bitcoin’s ETF inflows have been supportive, market uncertainty could result in further declines. The market’s behavior this weekend could set the tone for the industry’s short-term outlook.

Read more at Nasdaq: Crypto Flash Crash: What Caused Friday’s Collapse