Not all cryptos are taking the plunge as Bitcoin has. Despite a serious drop on Tuesday, July 20th, several cryptocurrencies posted positive growth as trading ended on Wednesday, July 21. Among those that enjoyed this unexpected surge were Ethereum’s ether, Dogecoin, and Polkadot.
Ethereum closed trading on the 21st at $1,804.73, Polkadot at $11.19, and Dogecoin at $0.18. All three altcoins posted a 7% increase in their respective prices.
It was, nevertheless, a volatile 48 hours for the cryptocurrency sector: traded volumes surged upward as panic selling ran high.
On a global scale, the cryptocurrency market dropped down to $1.21trillion, up by 1.95% as trading ended on the 20th. Likewise, the total market volume in the next 24 hours fell to $59.82 billion, thanks to a staggering 358% decline.
Bitcoin and Ethereum token ether, in particular, felt the crunch. Bitcoin went seriously below its critical support levels, plunging through its long-term 50-week moving average to settle at $31,000, and sparking a bear run in the market.
The way things are going so far, price volatility may be instrumental in deterring newbies from diving into crypto.
A rough run for Bitcoin
While Bitcoin remains at the top of the chart, closing at $29,888.34 at the end of day on the 21st, current circumstances have definitely not been in its favor. The unlocking of Grayscale shares last July 18th has only caused its value to drop further.
Likewise, current volumes have not given it the advantage, thus preventing any sort of rally for the digital asset. Elsewhere, sterner regulatory action by governments and central banks has caused Bitcoin’s value to decline over the past several months steadily.
It’s been a rough several months for Bitcoin. In May of this year, the United Kingdom slapped a ban against the cryptocurrency after it ran an ad encouraging the public to buy the digital token despite government regulators’ warnings regarding its current volatility.
Over in Asia, Bitcoin miners in China have had to pack up thanks to Beijing’s hard-line stance that the industry has contributed a great deal to the nation’s carbon footprint.
However, where India is concerned, Bitcoin may not be the only crypto that may find itself in hot water. Earlier this month, the Indian income tax office sent a formal notice to three of the country’s crypto exchanges, demanding details of all crypto trading activity to catch any profits made over the bull run.
The appeal lingers
It should be stated here that neither volatility nor stricter regulatory activity has swayed the minds of institutional investors with regard to digital assets. In fact, seven out of ten investors continue to express an interest in investing in cryptocurrencies and similar non-tangible assets.
Mudrex co-founder and CEO Edul Patel stated that while several cryptos have experienced a sharp decline over the past couple of months, there has been a glimmer of hope and relief over the past week.
