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Bitcoin, Ethereum Fall 5% as Markets Slump Into Correction Territory

The prices of Bitcoin and Ethereum, the world’s two biggest cryptocurrencies, dropped by about 5% each in the past 24 hours.

2 min read
Bitcoin and Ethereum. Image: Shutterstock

Bitcoin (BTC) fell over 5% over the last day to retreat back under $30,000, wiping off most of its recent gains.

The leading cryptocurrency gave investors a touch of hope at the start of the week after staging a mini-rally to first reclaim the $30,000 level on Monday before briefly surpassing $32,000 the following day.

It was the first time in three weeks that Bitcoin had traded at those levels; however, it failed to keep the upward momentum, plunging to an intraday low of $29,501 on Wednesday, according to data from CoinMarketCap.

At the time of writing, Bitcoin was changing hands at $29,939, down 5% in the past 24 hours. The bearish action led to nearly $155 million in BTC positions, mostly longs, liquidated over the span, according to Coinglass.

It’s been a rocky month for Bitcoin and the broader crypto market, as investors are still trying to assess their losses following the dramatic crash of Terra’s UST stablecoin and LUNA token.

The leading cryptocurrency lost more than 22% of its value in the past 30 days, while its market capitalization shrunk from $750 billion to the current value of $569 billion.

Ethereum follows Bitcoin slump

Following the pattern, the price of Ethereum (ETH) has seen its price fall 5.65% over the last 24 hours.

The industry’s second-largest cryptocurrency sank to the daily low of $1,776 in the early hours on Thursday and is now trading around $1,823, per CoinMarketCap. This is also as much as 35% down since the beginning of May when ETH changed hands in the region close to $3,000.

Elsewhere across the board, Solana/link is down 12% over the day following the Layer-1 blockchain’s four-and-a-half-hours-long outage on Wednesday.

Other major Layer-1 networks suffered significant losses too: Polkadot (DOT) is down 8.65% in the past 24 hours, Avalanche (AVAX) and Cosmos (ATOM) are down by about 8% each.

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