Bitcoin (BTC) Price Tanks In A Wider Crypto Market Correction, Overall Market Cap Drops Below $1 Trillion
Earlier today, crypto current market entered major correction after a massive rally last week. Bitcoin and almost all other cryptocurrencies corrected more than 10% while eroding more than $150 billion from the crypto markets in a matter of few hours.
Bitcoin (BTC) and the overall cryptocurrency market has been rallying very fast since the beginning of 2020. Last Friday, the BTC price climbed all the way close to $42,000 hitting its new all-time high.
The Bitcoin (BTC) price rally comes on the backdrop of growing institutional interest in the cryptocurrency over the last few months. But ultimately, the rally has come to an end. Earlier today, the Bitcoin (BTC) price dropped nearly 20% slipping below $33,000 levels.
However, BTC seems to have gained the lost ground and is $3000 up from its intraday lows. At press time, BTC is trading at a price of $35,954 with a market cap of $667 billion. Bitcoin (BTC) alone has lost nearly $50 billion of its market cap in a single day. Besides, the daily trading volumes for BTC has skyrocketed to more than $40 billion as of writing this article.
On the other hand, the altcoin market has fallen steeply and doesn’t seem to have recovered as good as Bitcoin (BTC). Top-performing altcoin Ethereum (ETH) is down 10%. On Sunday, ETH advanced closer to its all-time high of $1400, however, could break the resistance.
Ethereum currently remains as one of the top choices for crypto investors in the market. The world’s second-largest cryptocurrency has rallied more than 80% so far in 2021. There’s a massive demand for ETH on the backdrop of rising institutional interest in the cryptocurrency.
At press time, ETH is trading 8.9% at $1144 with a market cap of $130 billion. Other top-ten cryptocurrencies like Litecoin, XRP, Chainlink, Cardano, Bitcoin Cash, Polkadot have all corrected 10-20%.
In the latest warning, U.K’s top financial regulator Finance Conduct Authority (FCA) has issued stern warning of “high risks” faced by consumers by investing in cryptocurrencies. “Investing in cryptoassets, or investments and lending linked to them, generally involves taking very high risks with investors’ money. If consumers invest in these types of product, they should be prepared to lose all their money,” the Financial Conduct Authority said in a statement Monday.