Bitcoin experienced a significant 7% drop to around $82,000 as former President Trump signaled decisions regarding Federal Reserve appointments and a potential government shutdown deal. The MSCI Asia-Pacific ex-Japan index dipped 0.2%, reflecting cautious market sentiment. In the U.S., futures for the S&P 500 and Nasdaq declined by 0.4% and 0.5% respectively, amid global financial market fluctuations. The total cryptocurrency market capitalization fell by 5.9% to $2.88 trillion, highlighting the broad impact on the financial markets.
In the past 24 hours, the cryptocurrency market witnessed substantial liquidations totaling $1.75 billion, with long positions accounting for $1.65 billion and short positions comprising $105.63 million. Notably, Bitcoin led these liquidations with a significant $826.63 million, underscoring its dominant position among cryptocurrencies. Ether followed with liquidations totaling $428.48 million, while XRP and Solana saw liquidations of $72.35 million and $70.34 million, respectively, as reported by CoinGlass. The extensive liquidation activity involved 276,308 traders and coincided with a decline in the total cryptocurrency market capitalization, which fell by 5.9% to $2.88 trillion.
The stock market saw mixed performances, with the MSCI Asia-Pacific ex-Japan index experiencing a 0.2% dip, signaling caution among investors. In the U.S., S&P 500 e-mini futures fell by 0.4%, and Nasdaq e-mini futures slipped by 0.5%, reflecting a downbeat outlook. The S&P 500 closed down 0.1% while the Nasdaq Composite ended the day with a 0.7% decline.
Corporate earnings further influenced market sentiment, especially with Microsoft’s 10% plunge, which erased more than $350 billion in market value, driven by investor concerns over its earnings and artificial intelligence spending strategy. Conversely, Meta witnessed a 10% rise in its stock valuation, while Apple projected an impressive revenue growth of up to 16% for the March quarter. Tesla, however, encountered a 3.5% drop after announcing plans to more than double its capital expenditure. Collectively, these developments have contributed to a cautious tone among investors, heavily weighing their market strategies amidst fluctuating economic indicators.
The dollar index rose 0.3% to 96.441 during the reported session, reflecting a modest firming of the U.S. currency in markets covered by the article.
Tokyo core consumer prices rose 2.0% in January from a year earlier, matching the Bank of Japan’s target, as reported in the article.
The article’s headline noted that former President Donald Trump signaled a pick for Federal Reserve chair and referenced a potential government shutdown deal.
The piece also included the Nikkei 225 among named market entities mentioned in the coverage.
Markets remained cautious across asset classes after recent volatility, with cryptocurrency markets posting notable declines and heavy liquidations while equities recorded sharp moves around corporate earnings and capital spending disclosures. Equity trading saw pronounced shifts in major technology names and broader indices as investors reassessed recent results and spending plans. Overall, investors maintained a cautious stance as digital assets and major stocks adjusted to those developments.
