The crypto market has been experiencing a sharp drop in the last few hours, hitting the prices of the major crypto assets. In addition to the significant price fluctuations, the sector’s global capitalization has recently reached less than US$1 trillion.
According to CoinMarketCap, since the beginning of 2021, the capitalization had not shown values below this level. Thus, with bitcoin and other digital currencies falling, the crypto market capitalization has fallen by more than 12 percent in the past 24 hours.
As of Monday (13), the crypto market was valued between US$950 billion and US$ 1 trillion, and the lowest mark recorded by the volume of capitalization on the day was around US$925 billion.
Crypto market capitalization
The price of most crypto assets is currently depreciating in the crypto market. In the past 24 hours alone, the bitcoin price has plummeted by more than 13 percent, accumulating a 24 percent drop for the week, and the digital currency being quoted below US$24,000.
The ether (ETH) price followed the same path, depreciating by 17% on the day. Meanwhile, in the past few hours, the crypto market capitalization has fallen by more than US$200 billion, ranging from US$1.13 trillion to the lowest at US$ 925 billion.
On the other hand, the meltdown in prices strengthens the dominance of bitcoin, which has risen to 47% despite the crypto asset downtrend.
The pullback in prices in the crypto market may result from a change in investors’ sentiment toward the global financial market in the face of US economic policy.
With annual inflation projected at 8.3%, the United States recently released a report on the consumer price index for May that reflected in decline in major stock markets around the world, as well as hitting the crypto market.