Crypto Markets Lost $50B as Bitcoin Slumped to 6-Day Low (Market Watch)

After the relatively calm weekend, in which BTC stood primarily around $23,000, the asset took a dip south and dropped to a 6-day low. The altcoins are also deep in the red today, with ETH, SOL, and MATIC plunging by more than 5%.

Bitcoin Slips Below $22K

It was just several days ago – last Wednesday – when bitcoin jumped above $24,000 to mark its highest price point in over a month. As the bulls were getting more excited about the prospect of bringing down the $25,000 line as well, though, the situation changed.

The cryptocurrency lost over $2,000 in a day as it became known that Tesla had sold off most of its BTC holdings in Q2. Initially, the asset recovered some ground and entered the weekend at $23,000, where it spent most of the following two days.

However, the bears regained control over the market hours later and pushed BTC south hard. As a result, the cryptocurrency fell by over $1,000 and dumped to a 6-day low of under $22,000.

As of now, bitcoin still struggles there, and its market cap has declined to $420 billion.

BTCUSD. Source: TradingView

Altcoins in Red Too

The alternative coins were flying high during the week, stalled in the past two days, but are deep in the red now.

Ethereum was among the most impressive performers. It went from $1,000 to over $1,600 in days and stood there yesterday as well. Now, though, a 5% daily decline has driven the second-largest crypto to just north of $1,500.

Solana and Polygon have lost similar percentages in a day. Consequently, SOL sits below $40, while MATIC is at $0.8.

BNB, Ripple, Cardano, Dogecoin, Polkadot, and Shiba Inu are also in the red now. Avalanche has dropped by almost 9% and is close to breaking below $20.

The situation with the lower- and mid-cap alts is similar. As such, it’s no wonder that the overall crypto market cap has seen $50 billion gone in a day. The metric now stands at just over $1 trillion.

Cryptocurrency Market Overview. Source: Quantify Crypto