Crypto Market lost 11% of its total market cap in
Crypto Market lost 11% of its total market cap in a single day on January 11, as reported by BTC Wires. In that article, we discussed how the dumping game has made the already volatile crypto market bleed in excess of $15 Billion in a single day and another dump wave might prove disastrous.
The latest Wave of dump towards the end of Sunday Night saw the market bleed out 4% of its market cap, amounting to $5 Billion. At around 16:00 UTC, the third wave of dump slumped the overall valuation of $122 Billion to $118 Billion within an hour. The market held a steady point for the next 12 hours after that.
However, the analysts are concerned that another dump is around the corner, and the crypto market might see further losses.
Bitcoin May touch $2000 mark before the $5k Price Tag
Bitcoin lost almost 81% of its market cap owing to bearish market trend in 2018, however, investors and analysts were hopeful of some stability entering the new year. That optimism is quickly vanishing as the Bitcoin is facing a huge resistance at $4,000.
The January 11th dump brought Bitcoin’s prices to $36,60 with the lower resistance at $3600. However, the third dump on late Sunday Night saw the prices touch as low as $3,545. It has maintained a price above the new low since then.
The latest wave of dump has wiped out all the gains that the cryptocurrency garnered in 2019, touching the new lows of 2019.
Altcoins Follow the suit
As the norms of the crypto market go, the Bitcoin price drop is followed by other altcoins, and in most cases, Altcoins are always the bigger loser than the pioneer. The third dump was no different, where Bitcoin lost 4% while major Altcoins like Ethereum, Bitcoin Cash, Litecoin, Cardano, Bitcoin SV lost 5% in a single day.
Ethereum’s Constantinople hard fork and long-awaited network upgrade due on Wednesday made many believe that Ethereum would gain the largest, leading to the fork, however, that prediction has been crashing down since the first wave of the dump as well.
Ethereum is making it a habit to fall harder than it gains, the first wave of dump saw Ethereum lose its second position to Ripple for the umpteenth time, while the gap between the two was quite thin, the Sunday debacle has widened it to over 1 Billion.
Ripple Maintains its Status Quo
Ripple, over the years, has surpassed many expectations and maintained a status quo when it comes to dumping waves. Where major cryptocurrencies are bleeding left, right and center, Ripple only saw a downfall of 1.7%, which it regained within a few hours.
The trend-defying behavior of Ripple has solidified its claims of being the second largest cryptocurrency by market cap.
Conclusion
The new year has started on a bad note for the crypto enthusiasts, and when many were hoping for a steady market, the current trends indicate otherwise. One weird trend has been seen right from the November 15, BCH hard fork, earlier the market was bullish around the fork, but since the BCH network Fork, there is no indication or effect of Forks on the market.
The clear indication is Ethereum, which gained 80% of its losses in 2018 after the announcement of the fork. However, it has lost almost all its gains during these three dump waves. Analysts believe with current rate and another dumps on the card, Bitcoin might touch the 2k mark before reaching 5k.