As of today, May 10, 2022, the crypto market cap, globally, has lessened to $1.41 trillion which is a sharp decline, unprecedented and unparalleled, by 7.94% in the last day alone. CoinMarketCap data sends shivers down the spines when it shows the price of almost every crypto currency has fallen, but then, as a silver lining in dark cloud, crypto-currency market volume has bloomed by a mega 84.76% translating to whopping $182.54 billion.
DeFi’s total volume was recorded at $20.84 billion constituting 11.41% of total crypto market segment for a given period of 24 hours.
Besides, the Bitcoin price has recoiled and was recorded below $30,000 which is lowest since July month of last year.
Nevertheless, the Bitcoin still commands the widest sheen in the vast pool of crypto assets and secured 41.84% of total crypto trade. In the last fateful as well as fatal 24 hours, the Bitcoin price has come down by 8.26%.
Such tendencies find an easy way among the investors which resulted in the collapse of prices grossly. The emotions has found way in institutions too, as bulk crypto holdings are now put on sale across the horizon.
Mr Darshan Satija who co-founded Vauld and is now its CEO, confirmed to the media, “Due to a broad sell off, BTC prices dropped below $30,000 level for the first time since July 2021, while the ETH prices stood at $2319. The crypto fear and greed index was in the “extreme fear” zone, a sign that investors were too worried and were selling their holdings to minimize loses”.
He firmly opines that the current situation is a fallout of BTC’s deep links with S&P index and the key players simply want to play it safe to secure their capital interest.
Turning the current scenario into a curveball, Luna Foundation Guard declares shedding (offloading) about $750 M of its BTC stock due to the macro troublesome situation that the market faces as of now.
Darshan says,”Such a sale is a type of loan to OTC traders to protect the UST peg”.
Inflation and recession is largely feared, which have mitigated the crypto market.
Shivam Thakral, who sits in the seat of CEO at BuyUCoin shares, “The global financial markets are battered by rising inflation and growing Russia-Ukraine tension, rising inflation and a highly volatile situation in Sri Lanka. The Indian ruppee closed at a record low which is expected to make imports costlier and will have a significant impact on the financial markets. The above factors are putting tremendous pressure on the crypto market as well and we are witnessing a large sell-off by the investors to part the cash for better times”.
Unstoppable, Invincible, Admirable?? NO More!!!
Clearly, the world has turned upside down for the crypto industry in the past 24 hours. Top 10 popular crypto belongings have collapsed sharply. Glimpse into their performance.
Ethereum (ETH): 5.9% fall in its price in the last 24 hours which is akin to $2319. While in the past week, the price has gone down by $18.63. Such is the second largest crypto currency going by its market capitalization.
Binance (BNB): Price got down by 11.67% which translates to $309 and this all happened in the past merciless 24 hours. During the past week, the BNB price narrowed down by $20.92.
XRP: The price fell by $11.87% which hovers around $0.502 during the last bloody 24 hours. As for the past week, the price went down by $19.44.
Solana (SOL): The price slipped by $14.45 which is similar to $64.90 is the murderous 24 hours that we spent. As for the last 7 days, its price came down by $26.42 .
Cardano (ADA): The price plunged by 12.39% that is similar to $0.6272 during the past bloodred 24 hours that we lived.
Sparkle In Eyes of Bitcoiners Goes Missing As Downpour On Its Value Occurs
Investors’ heart and money-making excitement pulsate in Bitcoin, but since yesterday, i.e. May 09,2022, fear and psychosis gains strength in minds that such can become history, following its steep and deep plunge in its value.
Prime Upshots:
- Following its zenith in the month of November, Bitcoin falls,
- Glassnode data shows 40% of its holders offer price for sale which is lower than the value,
- Last month witnessed a crash of all bitcoin wallets by $31,000 level which also deflated tech stocks,
- Argument is abuzz that cryptocurrency is seen as an inflation hedge,
The percentage of 55% steep fall is surpassed when we have a closer look at short-term investors who have recently joined the bitcoin cult, only to rejoice its peak when it stood at $69,000.
Now, as Bitcoin is intrinsically bundled with Nasdaq, the argument that it is an inflation hedge, loses its charm.
Analysts based at Glassnode also discern an increase in “urgent transactions” and a higher fee was paid by the investors which simply indicates that they were keen to pay more premium in a bid to speed up transactions (or to rid off their bitcoins).
As a fallout, on-network transaction fee, lest we calculate, hovers around $3.07 bitcoin in the week just flown by and such is the largest dataset in records so far.
The report reveals, “The dominance of on-chain transaction fees associated with exchange deposits also signaled urgency”.
It further gives credence to the fact that bitcoin investors tried to sell or get collateral as per their margin points, which was simply a repercussion to market volatility.
In the past week, sell-off occurred whereby prominent exchanges received as well as released bitcoins to the tune of #.15 billion and this is recorded as the biggest amount since the market reached its all-time high milestone in November last year.
In the past few weeks, wallets which maintained a balance of 10 thousand bitcoins on an average, have been a dominant force.
While the small or retail investors were firmly convinced, data shows that their interest has been shaken and has been stark different from the months of February and March of this year.
At this point, FundStrat Global Advisors declares a coin bottom of $29,000 and suggests clients to postpone buying from one to three months for smarter returns in the long haul.
Now dear readers, we simply need to wait for the mist to be settled down and hope for the best to happen as billions of dollars are at stake.
