The 2022 bearish trend is still pushing many crypto prices below expected marks. The market also spiked a few times amid the raging crypto winter in the last few months. But the pullbacks have persisted and continue to overthrow the short-lived rallies.
Apart from companies closing up shops, downsizing staff, and declaring bankruptcy, investors have lost millions this 2022. Moreover, the continuing downward trend in crypto prices has caused billions of losses to the general crypto market capitalization.
At the peak of the crypto winter, the overall market cap fell below $1 trillion, causing massive panic in the crypto community. Thankfully, it rallied to $1 trillion and later surpassed it. But now, it seems the trend has started moving downwards once again.
Crypto Market Tanks Following Bitcoin
The crypto market cap pushes the lower limit towards a fall below $1 trillion. This is not surprising given that Bitcoin’s price is again falling towards $21K. As of press time on August 21, BTC is trading at $21,320, showing a 1.35% loss from the August 20 price.
This price level represents a 14% loss in Bitcoin price this past week. As a result, the total crypto market cap is falling towards a level it has already surpassed. Analysts are wondering if the cap will hold firm at that level.
Apart from the bitcoin price collapse these few days, other indicators of its value seem positive. For instance, Bitcoin market dominance has increased by 0.5%.
Bitcoin is priced above $21,000 on the chart | Source: BTCUSD on TradingView.com
The market dominance metric is used to gauge how Bitcoin and other altcoins perform. Therefore, the slight increase in BTC dominance level shows that bitcoin is faring better than others.
This shows that things are not smooth for the general crypto market. Of course, this new week might be favorable or unfavorable, given that Bitcoin lost 14% in the past week. But even at its losses, BTC’s price is better than many altcoins.
Altcoins Record Massive Losses
Ethereum and some of the altcoins lost some price values. ETH lost 3.90% in 24 hours. Altcoins such as UNI, SOL, LINK, DOT, AVAX, etc., have lost nearly 5% in 24 hours.
Amongst all losses, since August 20, Celsius Network’s CEL took the lead by spiraling down by 21%. Others such as ETC and STEPN’s GMT also lost at least 6%. Unfortunately, these losses negatively affect the overall market cap as it pushes towards $1 trillion.
Featured image from Pixabay, Charts from TradingView.com