The capitalization of the global cryptocurrency market fell to $ 1.7 trillion after a fall that hit bitcoin and the rest of the market.
Bitcoin opened the weekend with another dramatic collapse following a market crash Thursday. The cryptocurrency head has lost 7.6% in the last 24 hours and briefly tested $ 34,000 earlier this morning. It is currently trading at around $ 35,600, down about 48% from an all-time high. Bitcoin last reached $ 34,000 in July 2021.
Many other crypto assets were hit harder during the crash. Ethereum briefly fell below $ 2,350 after losing 11.1%. Solana fell below $ 100 for the first time since August last year, while other Tier 1 coins such as Terra and Avalanche also fell (a loss of 12.6% respectively) and 15.2%).
This latest decline comes as the market collapsed alongside traditional markets early Friday. Big tech stocks like Netflix and Amazon ended the week badly; Netflix fell more than 20% on Friday after it revealed that its video streaming market share was declining, the worst day since 2012. Amazon fell 5.95% to record the worst week since December 2018 The Nasdaq Composite, Dow Jones Industrial Average and S&P Slipped 500 all Friday.
The beginning of 2022 was a difficult one for the crypto and financial markets. The Federal Reserve has been largely blamed for the recent declines after announcing that it was planning on raising interest rates this year. Under these conditions, dangerous assets tend to suffer as the cost of borrowing money becomes more expensive. Other factors such as the Omicron variable and the potential Russian war also worried investors.
When it comes to crypto, prices have been slipping across the market since November. While coins with small caps have been fluctuating from time to time in recent weeks, large assets like bitcoin and ethereum have struggled to regain bullish momentum since hitting $ 69,000 and $ 4,800.10 November highs. At the time, the global cryptocurrency market was over $ 3 trillion. Today it is closer to $ 1.7 trillion, down about 43%.