Bitcoin Plummets Below $50,000 as Crypto Market Faces Major Downturn

Bitcoin (BTC) has experienced a significant price drop, falling below $50,000 for the first time since February. The cryptocurrency hit a low of $49,351 before rebounding to around $51,500.

With BTC's market dominance reaching 58% amid a broader collapse in both the altcoin and stock markets, the overall cryptocurrency market capitalization has shrunk by over 17%.

Previously valued at approximately $2.16 trillion, the total market cap of the crypto market has now plummeted to around $1.76 trillion. Early on August 5, the initial decline in BTC's price triggered the liquidation of $600 million in leveraged long positions taken by traders. This market downturn also impacted Ether (ETH) severely, causing it to lose nearly 20% of its value within just two hours.

As of now, ETH has recovered to around $2,200 after dropping to a low of $2,175