The significant selloff has led to close to $200b being cleared out of crypto assets back to fiat. The current market is at its lowest point since the previous drop on the 30th of May.
The lowest point the market capitalization has fallen was in the present correction on the 24th of May, when the market cap of all of the crypto market dropped at $1.46 trillion. However, the current market is 50 percent higher compared to what statistics were before at the start of the year.
Elon Musk Effect?
Rekt Capital, a technical analyst and a trader has pointed to Tesla and Elon Musk to remain the primary reasons for the current condition of the crypto market uncertainty. For the moment, no tweets have materialized by the billionaire since the last 24 hours that can accelerate the present dump. But, the most recent round of Fear, uncertainty, and doubt seems to have emerged from regulatory worries in the United States’ latest ransomware attacks. The attack caused a drastic effect on digital currencies as they are once again in the headlines as politicians and lawmakers point fingers at digital assets to be the main culprits behind criminal activity.
Currently, BTC has plummeted down to approximately $33,000, which is an almost 9% decline on that day. The intense sell-off resulted in the shaving of $4,000 from the digital currencies mid-day high at $36,700, following the data from CoinGecko sources.
Lark Davis, a digital asset-centric YouTuber highlights, that the death cross is inevitable now and, further losses may follow. As the YouTuber states, the BTC death cross comes closer day by day, and with the present situation in mind, it is very probable to be the case. Further cementing the YouTuber claim is the Bitcoin fear and greed index, which currently sits at its record low since the crash of 2020.
The Digital Asset Massacre
As expected, the industry is taking the most hard-hit, correctly, as ETH has lost 10% in a day reaching $2,500 in the process as the danger looms of further receding persists.
BNB lost 13%, which led it to plummet less than $350. Simultaneously, ADA lost 11% and Doge 13%. Similarly, other alternative coins have followed ETH to drop in double figures. Including Polkadot, XRP, ICP, Uniswap, Litecoin, Polygon, Bitcoin Cash, Solana, Chainlink, and many others.