A broad weekend selloff continued on Monday morning, causing widespread panic in the crypto market as Bitcoin’s price plummeted from $70,000 to $50,000 in just a week. In the past 24 hours, the leading cryptocurrency has declined by over 15%, and over 26% in the past week.
Not only that, but Ether, the second largest cryptocurrency by market capitalization, dropped to $2,200 – a level it has not seen since December 2023. The performance of Ether has worsened as spot Ether ETFs have experienced significant outflows in the past few days, totaling a net outflow of $511 million since its launch.
Among major cryptocurrencies, Solana, Dogecoin, and Cardano have dropped over 19%, 21%, and 17% in the past 24 hours. The global cryptocurrency market cap has fallen to $1.78 trillion, marking a decrease of over 17%.
The bloodbath in the crypto market has been caused by several factors, including renewed concerns about a potential recession in the U.S. due to rising unemployment rates. Moreover, the Bank of Japan’s decision to raise its benchmark interest rate has caused the value of the yen to rise, and Japanese stocks have suffered their biggest fall since 1987. The country’s Nikkei stock index dropped by over 12% on Monday.
The crypto market’s decline seems like it will continue for the foreseeable future. While the downturn in the crypto market might appear worrisome, some experts are suggesting that now is the time to buy.
