All News Economics

Cryptocurrency Mmarket Keeps Falling, With a Drop of Almost 10% in One Day

The main cryptocurrencies on the market keep on falling and presenting higher and higher losses. According to CoinMarketCap, the global market capitalization dropped by almost ten percent at one point to around 333 billion US dollars.

The price of Bitcoin, the cryptocurrency with the highest market capitalization, went from 8,049 dollars per coin down to 7,614 dollars per one bitcoin, which presents a drop of four percent. The world’s most popular cryptocurrency reached its lowest level of 7,507 dollars per coin at one point. On the other hand, ether lost eight percent of its value, with its price dropping from 650 dollars to 592 dollar per coin. The market capitalization of Ether dropped by almost 10 billion dollars, going from 65.5 billion to 59 billion dollars.

Out of the first one hundred cryptocurrencies on the list maintained by CoinMarketCap, the most affected cryptocurrencies by this drop were Hshare, WaikyChain and FunFair, with the drops of 15%, 14% and 13% respectively.

After several weeks of growth, it is normal to see this type of correction on the cryptocurrency market. Besides, the change of identity policies performed by Bitfinex could have influenced the users that did not want to deliver their personal information to sell their cryptocurrencies and abandon the platform.

Other possible motives for the drop could be the happenings related to UpBit, another important cryptocurrency exchange. The authorities of South Korea visited the headquarters of UpBit around two weeks ago to investigate an alleged deviation of cryptocurrencies, even though the subsequent audits confirmed that UpBit did not commit any illegal activity.

Despite everything, two cryptocurrencies presented important growth motivated by their adoption by different cryptocurrency exchange platform. Binance, one of the largest cryptocurrency exchanges in the world, announced it would offer exchanges of Skycoin in pairs with bitcoin, ether and Binance Coin, starting from today. Predicting the growth this announcement would cause, the investors could have decided to acquire Skycoin before it was listed on Binance, which could have caused its price to rise by 37%.

The second cryptocurrency is 0x and its price went up after it was published Paradex would be integrated into Coinbase. Paradex is a platform related to the 0x project that allows the exchange of ERC-20 tokens. After the news was published, the price of 0x rose by 16% and went from 1.17 dollars per coin up to 1.53 dollar per coin, but it later dropped to 1.34 dollars per coin.

In general, we can say this was an expected correction of the cryptocurrency market, which is why we can expect new positive fluctuations in the near future.

Leave a Reply

Your email address will not be published. Required fields are marked *