The cryptocurrency market continued to witness high volatility over the weekend and led to sharp declines in prices of popular virtual coins.
Bitcoin, the world’s most popular cryptocurrency, slumped sharply on Saturday to touch a one-week low of $33,425. Ethereum (Ether) also suffered due to the high volatility and fell to a low of $2,262.
Though Bitcoin staged a recovery on Sunday, it failed to hold on to the recovery momentum and is trading lower on Monday. The price of the most popular cryptocurrency was just above $34,000 at around 9:40 am, down nearly 1 per cent from its price 24 hours ago.
Ether has also lost momentum after it encountered losses during the weekend. At the moment, Ether’s price remains below $2,300, up less than 0.10% from its price a day ago.
It may be noted that Bitcoin was down 40 per cent so far this month and is on track for its biggest monthly fall since 2011. Similarly, Ether has lost 17 per cent this month after touching a record high of $4,380.
Meanwhile, the price of other smaller cryptocurrencies remain mixed — some like XRP (Ripple) and Cardano have rebounded, while Dogecoin, Stellar and Litecoin have failed.
Here are the latest prices and trends of popular cryptocurrencies:
|Cryptocurrency||Price (US Dollar)||
Market cap (Billion)
Volume (24 Hours)
|Ethereum (Ether)||2,308.41||0.13%||$267.99||$35.00 billion|
|XRP (Ripple)||0.896352||5.70%||$89.63||$9.01 million|
The rise in volatility in the crypto market is a result of China’s crackdown on the digital coin and Tesla CEO Elon Musk’s comments about the environmental impact of Bitcoin mining.
Musk has softened his stance on the matter, but the Chinese crackdown seems to have rattled the crypto market as investors are worried about other governments going for similar measures.
On Friday, Bank of Japan Governor Haruhiko Kuroda criticised leading crypto asset Bitcoin in an interview. “Most of the trading is speculative and volatility is extraordinarily high,” Kuroda told Bloomberg News on Thursday. “It’s barely used as a means of settlement,” he added.
Though cryptocurrency trade has gained momentum since 2020, the fact that there is hardly any regulation to protect investors is another reason behind the high volatility in the crypto market.
Most experts have asked investors to be extra cautious with their crypto investments due to high volatility at the moment.
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(DISCLAIMER: The cryptocurrency prices have been updated as of 10:10 am and will change as the day progresses. The list is intended to give a rough idea about popular cryptocurrency trends and will be updated on a daily basis.)