Believing in the market and trusting that the asset you invested in would take a jump soon is good, but for how long you could wait!
The crypto market started facing a downturn lately and in just a few weeks, the prices of top cryptocurrencies have dropped drastically. This resulted in making an all around impact where this has resulted in the global crypto market losing its huge portion of value while leaving its investors bare hands and made poor to many of them. The drastic fall in the market and still constantly struggling to cope up with the situation makes it hard to keep hopes high for the market.
Such a situation where top cryptocurrencies plummeted to almost 18 months low and global crypto market has dipped at around $860 billion that was even more than $3 trillion at some point about several months ago, raises questions on the future of crypto assets. This destruction in the crypto market includes every situation where some have seen falls steadily while others have fallen drastically and some of them have even exploded completely.
Top cryptocurrencies, Bitcoin (BTC) and Ethereum (ETH), have come down to low after a long time after attaining their all time highs of more than $69,000 and $4,800 respectively. Other altcoins have also experienced a similar fate where Cardano (ADA), Solana (SOL), BNB, XRP, Dogecoin (DOGE), Avalanche (AVAX), Polkadot (DOT), you name it, almost every other have seen huge falls in recent market crash.
Numerous factors are behind this ill fate of the crypto market such as uncertainties regarding crypto regulations, Fed interest rates hike, Russia-Ukraine war, recent collapse of Terra ecosystem, etc. All these factors on different timelines made a combined impact on the market. However, this week crypto assets across the market have shown a bit of optimism and went slightly upwards but still way down from their highs.
Several reports also said that for much of this year, cryptocurrencies have coincided with the stock market, whether it’s at the time of going up or down. The stock market is apparently skeptical of negative sentiments and is affected even by some small activity. Then such tough times at present when inflation and recession fears, fed interest rates hikes and disturbed geopolitical situations confirm whatever is happening.
Source: https://www.thecoinrepublic.com/2022/06/24/isnt-it-obvious-the-raising-concerns-of-cryptos-future-given-the-ongoing-market-crash/