- Date : 14/06/2022
- Read: 2 mins
The cryptocurrency market has crashed to a new low in the last 24 hours, shrinking to $977 billion.
Cryptocurrency markets have fallen below $1 trillion to a new low this year on June 13, 2022. The global crypto market cap is down by 13.63% in the last 24 hours, hovering around $900 billion, according to data by CoinMarketCap. To put matters in perspective, the cryptocurrency global market cap was at a staggering $3 trillion just six months ago!
Different cryptocurrency performance
Most of the top tokens have plunged. Here’s a look.
Bitcoin, the most popular cryptocurrency, is the most affected by the crypto market crash and is down by 18.25%. It is currently trading at about $21,049.
Ethereum has stumbled by 17.49% too and is trading at $1,118.
Dogecoin has plummeted by 15.17% and lost its position as the 10th most valuable cryptocurrency by market cap to Stablecoin DAI, which is down by only 0.02%.
Other cryptocurrencies that have taken a tumble include BNB (14.11%), XRP Ripple (10.09%), Solana (8.52%), and ADA (5.34%).
Only USTD Tether has shown no change in value in the last 24 hours, owing to its peg to the US Dollar.
What is causing the cryptocurrency market crash?
The rising inflation levels seem to be the primary trigger for the massive sell-off by crypto investors. Many are being cautious about risker asset classes, and a similar trend is also witnessed across stock markets.
US retail inflation (CPI) is at an all-time high since 1981, and as inflation data from other countries start coming in, the crypto market is expected to remain volatile.
Crypto platform Celsius, which enabled trade, borrow, and swap services, has temporarily paused services owing to ‘extreme market conditions’, which has been another big blow to investor confidence.
How is the crypto industry doing?
Experts say that the crypto market is expected to remain choppy in the coming weeks. This has caused stress and panic among crypto companies. According to industry reports, Crypto.com's CEO has announced that the company will lay off 5% of its staff - about 260 employees due to current market conditions. Crypto lending platform BlockFi is planning to let go of 20% of its staff to cope with this bloodbath.
The experts are yet to comment on what should the investors do - buy, sell or hold.