This week, we are focusing on two of the most trending coins, Bitcoin (BTC), and Ether (ETH). Over the past week, we have seen the market drop, and the total market capitalization has fallen below $1T.
Bitcoin (BTC), the largest cryptocurrency by market capitalization, has dropped to $15,500, nearing a two-year low, amid a gloomy market climate following the FTX collapse. However, shortly after the crash, it rebounded back to $16,600 and is now trading at $15,778 (at the time of writing).
Major currencies, Bitcoin and Ether have seen some short peaks but have majorly remained affected by the market’s unfavorable conditions at the moment. Bitcoin’s 7-day performance remained in the red zone.
Ether on the other hand, has reached $1,000 levels, currently trading at $1,090. The negative sentiment related to the recent event has been reflected in the price slump of Ether.
According to Yuya Hasegawa, a crypto market analyst at Bitbank, the drain of funds from a popular exchange has added a whole lot of pressure which is the reason for this continuous drain. “It obviously adds a direct selling pressure on Ethereum, and it affects bitcoin and other tokens.”
Bitcoin and Ether’s performance has led to the Crypto Fear and Greed Index reaching the ‘‘Extreme Fear” region, marking risk-averse sentiments among traders. Therefore, it is necessary that before you make any trade, please conduct your own research, read the charts, and monitor the news often, this will prepare you to make decisions based on informed data.
Macro-Economic Perspective
The regulations on cryptocurrencies have become important to consider now more than ever. Crypto market appears to be correcting at the moment and will eventually turn around. In fact, according to analyst Tony Vays, Bitcoin is headed to an ATH of $100k in 2023 after the bottoming out of the price.
Among major concerns, the current status of the economic downturn will likely continue affecting the crypto market’s performance. However, analysts and experts are also highlighting how important it is to have faith in the revival of the market.
According to Bloomberg, Chris Taylor from GSA Capital has said,“If you know what you’re doing and you have the confidence to have your money on exchanges, there are very profitable places to trade.”
Summary
Key cryptocurrencies remain red over the week, with Litecoin being the only one that has gained about 9% value. All top coins and known altcoins showed an almost double-digit slump, with Ether and MATIC losing about 12% and 10% respectively.
Disclaimer
Please note that this is not trading advice. We recommend you to carry out your own research before making any trading decisions. This article is for informational purposes only.
