The cryptocurrency market correction continues its downward spiral. Bitcoin briefly sank to a low of $ 43,796. It has fallen 7% in the last 24 hours, crowning a dark week that reduced its price by approximately 25%.
Why the accident? Macroeconomic events could be to blame. On Thursday, 10-year US Treasury yields hit their highest level in more than a year before stabilizing, but not before prompting retail investors to pull out of riskier assets like cryptocurrencies. Crypto wasn't the only asset to suffer, and tech stocks took a huge hit as well.
Second, Ethereum also keeps falling. Yesterday, the coin was valued at $ 1500. Today it fell more than 6% to its new price of $ 1,382, representing a decrease of 30% in seven days. To get an idea of how steep your loss is, consider that Ethereum was trading at an all-time high of $ 2000 last weekend.
Cardano's ADA token is the only cryptocurrency that weathered the storm this weekend. ADA hit its all-time high of $ 1.48 yesterday. But still, today he is in the red. It sank 11% overnight at a price of $ 1.29. That puts it 12% higher than last weekend, but it seems the excitement for next month's hard fork is wearing off.
Other top 15 cryptocurrencies
Polkadot's DOT and Uniswap's UNI lost the most value overnight. DOT was down 7% at a price of $ 32. Like Bitcoin, it has suffered a 20% price drop since the last week. UNI is down to $ 21.95, a loss of almost 9% in the last day and 30% cheaper than last Sunday.
XRP is priced at $ 0.42, though it's only down 2% in the last 24 hours, leading to relatively slight overnight losses for XRP holders.
Chainlink, Litecoin, Uniswap, and Bitcoin Cash have all sunk a staggering thirty percent since last Sunday. Chainlink's LINK is currently at $ 24.52, down 3% from yesterday. Litecoin and Bitcoin Cash fell 5% last night, with LTC reaching a price of $ 164 and BCH settling at $ 464.
Little to highlight
There has also been a dearth of news on institutional investment in crypto this week. Tesla set the bar extremely high earlier in the month when an SEC filing revealed that the corporation had invested $ 1.5 billion of its funds in Bitcoin. Similarly, the world's largest asset management company, BlackRock, which controls nearly $ 9 trillion in assets under management, announced through its CIO that it is now “dabbling” in Bitcoin.
The big news for mainstream investors this month was that Canada had launched two exchange-traded funds for investors interested in trading Bitcoin using a traditional auditable financial instrument. The first ETF, which was launched by Purpose Investments, raised nearly half a million dollars in assets under management in its first two days. In the past three days, it has only raised $ 60 million.
Online arts and crafts gift shop Etsy spoke in favor of the downtrend on Friday when it announced through its CEO Josh Silverman that it will not accept Bitcoin as payment or invest funds in it this year.
So today it's all red. But we're all in it for the technology, right?
All red today. But we are all in it for the technology, right?
– CZ 🔶 Binance (@cz_binance) February 28, 2021