BTC Drops Below 50k, the Crypto Market Cap Loses $300 Billion
As the Bitcoin falls below $50,000, the cryptocurrency market loses $300 billion in just a day. Most of the coins including ETH, BNB are showing significant double-digit losses.
A large chunk of 10% has been cut from the BTC price to well below $50,000 as the price of tokens fell sharply, losing around $300 billion overall in market cap in a single day.
The attention was heading towards BTC from the last 10 days as the main cryptocurrency was just breaking the latest ATH record ($65,000). However, the rapidly changing crypto market has turned the tide and assets have been gradually losing momentum.
This resulted in a violent market crash on Sunday, with Bitcoin falling $9,000 in an hour. After several days of hard work to make up for some losses, this situation has been resolved within the last 24 hours.
The uncertain core reason behind the drop seems that US President Biden is considering imposing a hefty new capital gains tax.
BTC fell from a daily high of over $55,000 to an intraday low of $48,500, this is its lowest price since early March. On the positive side, BTC’s market dominance has risen to 51.6% as most of the altcoins have suffered major losses.
As mentioned above, altcoins did not increase volatility. Ethereum just hit a record high of $2,641 in less than 24 hours ago, and fell below $2,200 almost losing over $400 in a very short period. Even Dogecoin, which performed well on Sunday’s market crash, fell more than 30% to $0.20.
In the end, its cumulative market value fell by around $300 billion to less than $1.8 trillion in one day. The weekly market cap lost $500 billion.