Cryptocurrencies declined in midday trading on Tuesday, November 4th, marking their second consecutive session of losses. This decline coincided with a wave of profit-taking and a continued drop in market capitalization, with altcoins leading the losses. Institutional demand slowed, with the pace of new coin issuance decreasing for the first time in seven months.

Reports indicated that approximately $1.27 billion in leveraged futures positions in cryptocurrency markets were liquidated, according to CoinGlass data. This represents the largest liquidation in weeks.

Financial markets are also affected by the reduced market expectations for a US Federal Reserve interest rate cut in December. As of Tuesday, the CME FedWatch tool is pricing in a 70% probability of a 25-basis-point rate cut in December, down from over 95% before last week’s Fed meeting. This follows Federal Reserve Chairman Jerome Powell’s statement that a December rate cut is data-dependent and not a certainty. The combined market capitalization of cryptocurrencies, according to Coingeako, which tracks over 17,000 cryptocurrencies, fell by approximately 4.1% on Monday, trading at $3.53 trillion. Bitcoin led the decline at 58.8%, followed by Ethereum at 11.9%.

Bitcoin traded at $104,502, down about 2.59% at the start of trading, with its market capitalization falling to $2.083 trillion. It is nearing its October low and trading at its lowest level in four months. Ethereum, the second-largest cryptocurrency, declined by about 5.17%, trading at $3,504, with a market capitalization of $423 billion, its lowest level in three months. It has recorded losses of more than 15% in the last seven trading sessions. XRP (Ripple), the fourth-largest cryptocurrency by market capitalization, is down about 5.50% today, trading at $2.26 with a market capitalization of $136 billion.

Dogcoin is down about 4.52%, trading at $0.1651 with a market capitalization of $25 billion. Cardano is down about 5.40%, trading at $0.5429 with a market capitalization of about $19 billion.

Solana is down about 8.41%, trading at $159 with a market capitalization of $88 billion. TRON is down 4.33%, trading at $0.2797 with a market capitalization of $26 billion.