Cryptocurrency markets have been going through a choppy phase over the past few weeks. Bitcoin has plateaued around $30,000 and Ether has also been going back and forth between $1,700-$1,800 levels. However, experts from the crypto world consider the decline temporary and mild.
The crypto markets have also slowed down over the past 24 hours. The global market cap shrunk to $ 1.23 trillion after falling 0.30 per cent. This is how the top tokens performed in the last 24 hours, as per data from CoinMarketCap.
Bitcoin is 0.68 per cent lower and is currently trading at $29,992. Ethereum had a downward trend and is currently trading at $1,784 after falling 0.50 per cent.
The USDT Tether's value increased by 0.01 percent over the past 24 hours. Whereas the USDC stablecoins displayed a 0.03 per cent downward trend and maintained their $1 peg.
The BNB token is currently 0.58 per cent higher. Ripple's XRP is also down. In the preceding twenty-four hours, it dropped 0.22 per cent.
The ADA token demonstrated a decline of 1.11 per cent. Dogecoin declined 0.40 per cent. Over the past 24 hours, the positions of the majority of the leading cryptocurrencies have declined.
Expert Take
Charles Tan, Chief Marketing Officer, Atato, a licensed MPC crypto custodian wallet spoke to Business Today about the various reasons behind the choppy sentiment in the markets.
He said, “The decision taken by European banks to hike interest rates spooked the global financial markets including the crypto markets. The overall crypto market cap is at $1.23 trillion which is a marginal decrease from the previous day.”
He also said, “The total crypto volume took a major hit and declined by over 26 per cent which shows reduced risk appetite among the investors.”
Speaking about the top tokens, he said, “Bitcoin, the world’s oldest cryptocurrency is struggling to stay above the $30,000 mark due to the selling pressure. Ether also slipped below the $1,800 mark and is down by almost 2.5 per cent. Solana and DOT traded in green and saw a jump of close to 2 per cent.”
Finally, when asked what to expect in the coming days, Tan said, “If central banks around the world continue to hike the interest rates, then we may witness a deeper sell-off in the crypto market in the coming weeks.”
The CoinDCX research team told Business Today, “Crypto tumbled on Thursday, with Bitcoin and Ethereum declining as US Treasury yields rose.”
They still have a positive outlook, unlike that of our other expert. They said, “The decline, however, appears relatively mild compared to previous downwards marches, possibly a result of marginal seller exhaustion and a gradual easing of regulation concerns.”
They further added, “With a significant amount of institutional capital continuing to pour into the crypto space, this can potentially be viewed as a reversal of the negative sentiment ever once so prevalent.”
Speaking of their outlook in the near future, they said, “Going into the second half of 2022, we continue to be optimistic on crypto and web3 adoption as the technology continuously evolves to address existing challenges in the financial sector.”
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