Just like May, the month of November is also turning out to be a disaster for the entire cryptocurrency industry. In May, it was the Terra Network crash that caused the trouble, and this time, it is the FTX exchange.
Crypto Market Cap Falls Tremendously
Due to the constant downstream movement of the crypto industry and the FTX disaster, the industry’s overall market valuation is taking a hit.
From November 8 to November 10, the crypto valuation has continued plunging. The recent data analysis shows that a 24% decline in the overall crypto valuation has been recorded in the said period.
As the market valuation has continued declining, it has reached down to $770 billion. This is an extremely low figure for the market valuation for the entire cryptocurrency industry.
Panic has been Subdued
Initially, as the news of the FTX crash came in, a mass liquidation and sell-out could be observed in the crypto market. There was a great panic in the entire cryptocurrency industry.
However, the panic has been subdued and now, the valuation has recovered a bit. After experiencing a 24% decline, the crypto valuation has witnessed a sharp (16%) recovery.
Similar Panic was witnessed in June and July
The recent market value decline below the $850 billion mark is not the first instance in the running year. Similar declines were recorded in the overall valuation of the crypto market in June and July.
It is the third time in the year 2022 that the overall valuation of the crypto-verse has fallen below $850 billion. However, it is the first time since December 2020 that the market valuation has fallen to $770 billion.
Since December 2020, the lowest valuation the crypto-verse has experienced is on November 9, bringing the figure down to $770 billion.
Bitcoin and Ether Caused the Major Declines
In the running week, a 17.6% drop has been recorded in the overall crypto market valuation. The main culprits behind the major fall are Bitcoin (BTC) and Ether (ETH).
A look at the performance of both assets in the same period shows Bitcoin suffered an 18.3% dip while Ether suffered a 22.6% dip.
However, Bitcoin and Ether are not the cryptos that suffered from the worst price dips. The performance report for the running week shows that out of the 80 cryptos, 8 altcoins witnessed major plunges.
The 8 altcoins in particular suffered from 30% or higher declines in the same week. These cryptocurrencies include the FTX Token, Solana, Aptos, Near Protocol, Arweave, Aave, Huobi Token, and Lido DAO.
These assets have suffered from 86.38%, 46.72%, 32.94%, 32.22%, 31.65%, 31.53%, 30.85%, and 30.02% plummets respectively.
