The crypto market is known for its over-the-top volatility and price drops that happen every now and then and at every nook and corner, but this time around, the whole market has tanked pretty badly. Ethereum, Bitcoin, and every reputable cryptocurrency is flatlining pretty badly, and this is not the crypto market only as the forex and stock markets are also dwindling by a single thread; it seems that it is a global crisis that is hitting every financial market hard.
Crypto Market Cap
The market cap of Bitcoin was way above $1 trillion, and it was anticipated that the whole thing would double down when the period of this bearish cycle was over, but that didn’t happen. The crypto market has lost about 5% of its value, which says a lot about the bullish cycle that might not accompany major or even minor cryptocurrencies any time soon.
Investors have definitely lost their interest and faith in the crypto market; in fact, they are not investing in anything at the moment. It could be a strategy at their end to keep their investment safe until some financial venue comes up with a solid ray of hope for massive gains and impressive ROI (return on investment). But the tides are not in favor of the crypto market at the moment, it seems.
On top of everything else, Tesla, the electric car giant, is slowly shedding away its crypto holdings, and most of these holdings are in Bitcoin. Before this selling activity became hot within the crypto market, Bitcoin was doing impressively, stationing itself above $24K, but since then, it has fallen by a factor of $2000, and a consistent decline seems imminent.
This is not only Tesla that is chipping away their Bitcoin holdings, every investor that has even a fraction of a doubt that Bitcoin will not survive any longer is jumping the ship and is dumping their position, but the sad thing is that there doesn’t seem to be any investor to collect all those dumps of Bitcoin.