With cryptocurrencies trending lower in the wake of the collapse of TerraUSD and the most volatile week for Bitcoin trading in at least two years, the world’s largest cryptocurrency on Sunday witnessed a mild surge of 0.9% trading at $29,842.17.
The global cryptocurrency market capitalization today is $1.33 trillion, which is a 0.8% drop in the last 24 hours. The total cryptocurrency trading volume in the last 24 hours is at $102 billion, with Bitcoin dominance at 42.6% and Ethereum dominance at 18.4%.
Ethereum, on the other hand, continued to trade lower at 1.2% drop at $2,030.39. While Solana dropped even further at 4.1% at $50.41 and Dogecoin dropped 2.7% at $0.088207. Shiba Inu witnessed a much steeper drop at 6.3% at $0.00001212 on Sunday.
Meanwhile, the wipeout of algorithmic stablecoin TerraUSD and its sister token Luna knocked more than $270 billion off the crypto sector’s total trillion-dollar value. The weekly net change in Bitcoin volatility was the highest in the two years since Bloomberg first began recording data.
Altcoins did not escape the declines on Saturday, with Solana and Polkadot down more than 5% and Avalanche down nearly than 8% on Saturday.
“Multiple headwinds have given market players almost nowhere to hide in any asset class this week,” said Coinbase Institutional’s Brian Cubellis and David Duong in a report Friday, adding that volumes on its exchange were the highest since January’s crypto sell-off.
“Interestingly, despite larger volatility than during the sell-offs in January or December, volumes are still somewhat lower in comparison, which suggests lighter positioning as well as potentially decreased interest from retail due to a difficult market environment,” they wrote in the note.
The analysts said Bitcoin’s $30,000 threshold will become “a major resistance” if prices continue to consolidate below that mark over the next few days. “If things were to deteriorate further the next line of support would come at around $20,000 which was the all-time high in the previous 2017/2018 cycle,” they added.
(With inputs from agencies)