Bitcoin Plummets to December 2020 Lows, Altcoins See 30-50% Daily Collapses: Market Watch

Another day came with more massive price drops in the crypto market, with bitcoin dumping to lows not seen in roughly a year and a half. The altcoins are in even worse shape, with countless double-digit declines across almost all charts.

Bitcoin Charts Yet Another Yearly Low

A lot can change in the cryptocurrency markets in a week. Seven days ago, bitcoin stood around $40,000 after spiking by $1,000 in a day. This was regarded as a positive development, with the bulls expecting an upcoming price surge above that coveted level.

However, very few people could have foreseen what followed. Instead of jumping above that level, BTC headed straight south and lost $4,000 in a day. That was not all, as another price slump drove it to $33,000 and then to $30,000 a few days later.

After bouncing off to $33,000 on May 10, the cryptocurrency dumped once more to below $30,000 for the first time since last July. After the US announced the latest inflation numbers, bitcoin pumped briefly to $32,000 but was rejected once again.

This time, it plummeted to $28,000 before dumping even more to $25,350 (on Bitstamp) – the lowest price position since late December 2020. Somewhat expectedly, this resulted in over $1 billion worth of liquidations.

As of now, BTC stands above $27,000 but being 30% down on the week means that its market cap is well beneath $550 billion.

BTCUSD. Source: TradingView

Altcoins With Double-Digit Drops

Ethereum took the market crash relatively well (compared to most other assets), or at least until yesterday. Now, the second-largest cryptocurrency has lost over 15% of value on a daily scale and sits below $2,000. Hours ago, ETH went down to around $1,800.

Binance Coin (-17%) struggles at multi-month lows of $250. Even more losses are evident from Ripple (-25%), Cardano (-25%), Solana (-30%), Dogecoin (-25%), Polkadot (-25%), Avalanche (-27%), Shiba Inu (-30%), and many others.

Terra continues to be the most significant loser with another 99% daily decline. As of now, LUNA suffers at $0.15. The asset traded above $90 a week ago.

The cumulative market capitalization of all cryptocurrency assets has plummeted below $1.2 trillion. This means that the metric has lost more than $600 billion in a week.

Cryptocurrency Market Overview. Source: Quantify Crypto