Industry Experts Remain Unfazed by 70% Crypto Market Crash

The crypto markets plunged 24% over the past seven days and lost $320 billion in total market capitalization. This includes all cryptocurrencies. It fell to an 18-month low below $900 billion this week. This is a 70% drop since November.

Although the massive sell-off in markets has been halted somewhat today, as markets have reclaimed $900 billion, all digital asset prices continue to plummet on a macroscale. It is not a new phenomenon, but it has happened before in 2015 and again in 2018. This led to 80% price collapses and a prolonged period of consolidation called crypto winter.

According to CNN, leaders in the industry have reacted positively to the bear market.

Have You Been There Before?

Jason Yanowitz (Blockworks co-founder) says that crypto markets experience an 85-90% drawdown. After a huge capitulation event in November, Bitcoin dropped 84% to $3,200 in 2018, after hitting its all-time high at $20,000 in 2018.

The Ethereum collapse was even more devastating, with 94% dropping from $1,440 in Jan 2018 to $85 in Dec 2018. It had reached an all-time high at $4,878 in November 2021. However, it is currently at 75% below that level.

Felix Honigwachs (CEO of Xchange Monster) told CNN that it was all in the timing. He added that anyone who bought below the peak cycle would still be up today. Yanowitz went on:

“I disagree with those who claim there is no way to recover after something like this. People see crypto as something strange or not real. Crypto is not real if you don’t believe it to be.

Ryan Sean Adams, an Ethereum advocate and crypto investor, pointed out the differences in the current cycle.

This is not 2018.

We didn’t have product-market fit in 2018. DeFi was nothing. NFTs were a blip. Ethereum did not have a path to scaling or stake.

All this will be possible in 2022. We have just been beaten down by leverage wounds, macro- and self-inflicted.

I was afraid then.

I am not right now.

— RYAN SKsAN ADAMS – rsa.eth

(@RyanSAdams) June 15, 2022

All markets have been affected by the macroeconomic consequences of a unprecedented global pandemic, as well as a war in the same year.

Is the Crypto Market at its Bottom Yet?

The final capitulation of the market could be imminent as miners move large amounts of Bitcoin to exchanges every week.

The triple woes of rising energy prices, falling asset values, high hash rates, and difficulty have hit Bitcoin miners. They will need to liquidate in order to survive and make the next cycle. This could lead to panic and fear, but it is unlikely to go any lower.

Bitcoin Fear and Greed Index is 7 – Extreme Fear Current price: $22,469 pic.twitter.com/H5ePNB0vAF

— Bitcoin Fear and Greed Index (@BitcoinFear), June 15, 2022

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Marla Brooks

Marla Brooks – Financial Analysis My name is Marla Brooks, and I am the mainstream behind the”observednews.com”  for the powerful and most delicate insights into the latest activities in the financial analysis category. I started my journey as an independent financial consultant. I had approximately nine years of experience in this field. I am free soul so; my passion for exploring the world has taken me to the nations across the globe and given me the chance to report for a portion of the best news associations. Currently, I am a full-time editor as experienced in finance and started to use my abilities.

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