Correction Intact: Bitcoin Slumps Over $3K After the Rejection at $50K, Total Cap Retests $2T
The volatile nature of the cryptocurrency market stroke again, with bitcoin displaying several $2,000 moves in both directions. Nevertheless, BTC dropped below $47,000, and most of the altcoins have followed along south with notable losses.
Bitcoin Lost More Than $3K in 3 Days
August 23rd went down as a highly positive day for BTC bulls in which the digital asset broke above $50,000 for the first time since the mid-May correction. It went as high as $50,550 (on Bitstamp), but it failed to remain above the coveted $50,000 mark.
In the following hours, the bears regained control over the market and pushed the asset south. Bitcoin started to lose value somewhat rapidly and dipped below $48,000, as reported yesterday.
It kept declining until it touched $47,200 when it bounced off and added more than $2,000 of value in mere hours. After surging above $49,000, though, the situation changed once more, and BTC slumped again.
This time, it even went below $47,000. In fact, it dropped all the way down to $46,550, which became the lowest price tag in about a week.
Despite recovering some ground since then, BTC still struggles around $47,000. Its market capitalization has dumped below $900 billion, while its dominance over the altcoins has increased slightly to 44%.
BTCUSD. Source: TradingView
Alts Keep Bleeding
Most alternative coins have followed their leader in the past few days. This includes Ethereum, which went to a multi-month high of $3,360 on Monday but has lost over $200 of value since then. Moreover, ETH dumped below $3,100 hours ago but currently sits around that level.
Binance Coin seems to take this correction slightly better than most as it’s less than 1% down. On the other hand, Cardano (-5%), Ripple (-3%), Dogecoin (-5%), Polkadot (-5%), Solana (-4%), Uniswap (-3%), Bitcoin Cash (-4.5%), Litecoin (-3%), and Chainlink (-5%) have lost significant chunks of value.
LUNA and AVAX have even dropped by double digits in the past 24 hours.
Aside from Revain, which has surged by 25% since yesterday, most other lower- and mid-cap alts have retraced. These include Helium (-11%), THORChain (-11%), Audius (-10%), XDC (-10%), Fantom (-10%), The Graph (-10%), and Cosmos (-10%).
Ultimately, the cumulative market cap of all cryptocurrency assets is down by $160 billion in two days to around $2 trillion.