Cryptocurrencies began to decline after stabilizing and posting some gains since the beginning of the week. This decline occurred during midday trading on Thursday, January 29th, coinciding with a continued wave of selling and a further drop in market capitalization. This comes amidst a decline in risk appetite in global markets, while the US Federal Reserve maintained its monetary policy and interest rates unchanged on Wednesday, as expected.

Cryptocurrencies are currently being affected by significant selling by long-term Bitcoin holders, putting pressure on the cryptocurrency markets. Nearly 143,000 Bitcoins, valued at approximately $9.5 billion, have been sold since the beginning of the year, marking the fastest rate of long-term investment divestment since August 2025, according to Glassnode data.

Continued outflows from Bitcoin ETFs, coupled with losses on leveraged bets, are also weighing on cryptocurrencies. US Bitcoin ETFs saw outflows of $19.64 million on Wednesday, while no outflows were observed from Ethereum ETFs. The combined market capitalization of cryptocurrencies, according to Coingeako, which tracks over 17,000 cryptocurrencies, fell by approximately 2.3% on Thursday, trading at $3.06 trillion.

Bitcoin traded at $87,925, down about 2.53% midday, with its market capitalization at $1.757 trillion. Ethereum, the second-largest cryptocurrency, declined by about 3.37%, trading at $2,931 with a market capitalization of $353 billion.

XRP (Ripple) fell by about 3.06%, trading at $1.87 with a market capitalization of $113 billion. Dogecoin is down about 4.25% today, trading at $0.1208, with its market capitalization falling to $20 billion. Cardano is also down about 4.40%, trading at $0.3457, with a market capitalization of approximately $12 billion.

Solana is losing about 3.33%, trading at $122, with a market capitalization of $69 billion. TRON is also declining, losing 0.33% and trading at $0.2945, with its market capitalization dropping to $27 billion.