Severe lack of investor confidence drives the crypto market down, the tendencies hint at further decline
Crypto Market Cap Drops to $850B, Keeps Falling. Source: shutterstock.com
The total cryptocurrency market capitalization dropped by 24% between Nov. 8 and Nov. 10, reaching a $770 billion low. That was the lowest value indicator registered since December 2020. Despite a 16% recovery, the market prospects remain subdued.?
A massive weekly drop was linked to the FTX bankruptcy saga which hit the market hard. Bitcoin lost 18.3% of its worth, while ETH declined 22.6%. The top altcoins decreased 30% or more in the period. Most stablecoins lost their pegs as well.
According to the Cointelegraph analysis, the Bitcoin options market remains dominated by neutral-to-bearish strategies. Taking into account the absence of stablecoin demand in Asia and negatively skewed perpetual contract premiums, analysts conclude that negative investor sentiment will not let the $850 billion market capitalization support hold in the near term.
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Nina Bobro
Nina is passionate about financial technologies and environmental issues, reporting on the industry news and the most exciting projects that build their offerings around the intersection of fintech and sustainability.
