Top crypto currencies have suffered the worst price drop in history as of 2022. The global market fell below the 1 trillion mark. This is the first time since January 2021 when the global crypto market cap is below i trillion. Around 100 billion have been marked out of the cryptomarket in a day. The global crypto market has fallen to 912 billion from 1.04 billion recorded in a day.
Almost every top crypto was in red with prices of many touching new lows in the last 24 hours according to CoinmarketCap data. Bitcoin price has dropped by 14 percent in the last 24 hours to $ 21,966. The top crypto ascendancy has decreased nearly 2 percent to 45 percent of the total crypto market. Bitcoin price has fallen by 26 percent. The total crypto currency market volume over the last 24 hours has increased by $62 percent to $153 billion indicating massive sale of crypto holdings by investors.
Andy Linn chairman of BigOne said the weakness is amplified by the short term traditional institutions who were here for just a short term gain.
The latest crash occurred due to operational issues that prevented customers from accessing their funds.The crash is reminiscent of similar market corrections in 2013 and 2017 which saw Bitcoin market value drop by 80 percent. With just 60 percent wiped from BTC’s November price peak and with the market still yet to settle, some analysts fear losses may be on their way.
Bitcoin price has dropped more than 20 percent with its market capital slipping below $500 billion. Its largest peer , Ethereum has barely managed to hold up the $1300 mark with a total valuation just above $160 billion. Market contributors are linking the weakness in the crypto market closely with that of the traditional asset class.
If we compare the national value lost, only eight countries have a GDP more than what the crypto market eroded in less than three quarters. Countries like Canada and Italy have a GDP of little more than 2 trillion while Brazil’s GDP stood at 1.83 trillion.
Why has the market crashed?
The massive sell off in crypto markets was triggered due to fears of another systematic threat after crypto. Bitcoin and other overall crypto markets bled heavily by falling over 10 percent in a single day and dropping over $21K level index continues to strengthen. The weekly trend for the BTC has broken below its last support of $24000 analyst at WazirX. The market sentiment has dipped to a new fear level of 8 for almost 2 years. The crypto market could lose more ground if the dollar index stays strong and the Stock market used to correct, they added.
Crypto Rupe Index change
The Crypto Rupee Index by CoinSwitch fell 27 percent in the last one day to Rs 2245. Crypto Rupee Index tracks crypto market performance in INR the time of writing the index was down by Rs 829 in 24 hours. CRE8 is an Indian Rupee denominated crypto index reflecting Indian Market conditions.
Bitcoin is a decentralised digital currency that can be transferred through a peer-to -peer Bitcoin network. Rewards are created for a process called mining in Bitcoin. A few national governments are officially using Bitcoin in some capacity countries like the African Republic and El Salvador adopting it as a legal tender.
Top Crypto Prices
Ethereum price has dropped 15 percent to $1159 in the last 24 hours. It has ranked the second largest crypto asset in terms of market capitalisation.
Binance chain coin’s price decreased by 10 percent to $217 in the last 24 hours.
The use of Bitcoin by criminals has attracted the attention of law enforcement, legislative bodies and the media. Various media outlets have postulated that the popularity of the Bitcoin hinges the ability to use them for illegal purchase of goods.
Bitcoin prices continue to collapse amid uncertainty that is being driven by a shaky stock market, increase in interest rate and recession fears.
How investiable is Bitcoin right now?
There is a lot to consider before investing in crypto. You’ll have to make sure you have an emergency fund. The cryptomarket comes with its risks, where the price rises and falls according to the market.