Bitcoin 
$78,323 and other leading cryptocurrencies began the week with declines. Following the initial optimism that accompanied the U.S. Federal Reserve’s interest rate cut, investors have now shifted their focus to new macroeconomic developments.
Downward Trend in the Cryptocurrency Market
According to Cryptoappsy data, Bitcoin has decreased by 1% in the last 24 hours, falling below the $115,000 threshold. The largest cryptocurrency‘s price dropped to $114,294 and is currently trading at $114,402.
A downward trend also dominates the rest of the cryptocurrency market. Ethereum 
$2,378 fell by 3.3% to $4,307, XRP declined by 2.5% to $2.91, and Solana 
$87 dropped by 3.24% to $232.5.
Last week, following a 25 basis point interest rate cut, Bitcoin surged to $118,000. However, this increase was not sustained, and the price has since fallen by nearly $4,000. Statements concerning the Fed’s interest rate cut have also drawn attention. According to a Reuters report, Fed Chairman Jerome Powell stated that the cut is considered a risk management measure. Powell emphasized that rapid and consecutive interest rate cuts should not be expected, and that future steps would be evaluated separately at each meeting based on macroeconomic data.
Can the Market Recover?
Cryptocurrency analyst Rachael Lucas notes that long-term investors are currently not creating selling pressure in the crypto market. In contrast, short-term investors are contributing to increased activity by exerting selling pressure. Blockchain data reveals a current inclination to hold Bitcoin without selling. The analyst added that for Bitcoin to regain strong momentum, surpassing the critical threshold of $124,000 is necessary.
Factors that could influence the market include spot Bitcoin ETF approvals in new regions, increased institutional demand from major companies, and the potential for state-level adoption. Should these developments occur, Bitcoin and other cryptocurrencies could experience upward movements once again.
