The value of the cryptocurrency market fell below $1 trillion for the first time since January 2021. On June 14, major digital tokens traded in the deep red as the global cryptocurrency market cap is $950.32 billion, a 2.42% decrease over the last day. Meanwhile, the total crypto market volume over the last 24 hours is $148.04 billion, which makes an 18.28% increase.
Bitcoin, the world’s favourite cryptocurrency tumbled as much as 6.83 percent to $22.246, continuing a nearly 12-week slide. The asset has whipped off about 66% of its value from lifetime highs of $69,000 in November. Bitcoin accounted for over $532 million of all liquidations, followed by ether at $317 million.
Ether, the world’s second-largest cryptocurrency in terms of market capitalization, which is linked to the Ethereum blockchain, also fell 4.26 percent at its 15 months low to $1,175.
Much of the decline in the past few months has come as the U.S. The Federal Reserve plans to hike rates in the coming months to battle the ill effects of record inflation – a move that has inadvertently caused a slide in global stocks and subsequently cryptocurrencies as investors take money off assets deemed risky.
Siddharth Jaiswal, Founder & CEO, SportZchain says, “Like every market be it equity or commodity there is a cycle which impacts the price of the asset, the same is been seen with Bitcoin and the overall cryptocurrency market. In the short term the BTC has shown a recent drop of 53% since the start of 2022, but when you zoom out the chart and see the 5 year trend it has provided a return of 763%, so it's all in the perspective and nature of investing.”
One thing to definitely note is that the crypto asset as a whole has a very low adoption compared to other assets and more awareness and mainstream adoption will drive the demand and in turn impact the price positively, he added.