Cryptocurrency market update: Bitcoin, Ethereum, Dogecoin, Shiba Inu take a hit
The price of Bitcoin, the world's largest cryptocurrency, is seeing a decline. There is a fall in the price of Ethereum as well.
On the first trading day of the week, a mixed effect is being seen in the cryptocurrency market. The price of Bitcoin, the world's largest cryptocurrency, is seeing a decline. There is a fall in the price of Ethereum as well. Also on the decline are Dogecoin and Shiba Inu. At present, the global cryptocurrency market is below the 2 trillion dollar mark.
The price of bitcoin, the world's largest cryptocurrency, is trading below the $41,000 level today on Monday. The digital token is trading down 2.3 per cent at $40,917 (at 11:15 am). The world's largest and most popular cryptocurrency is down nearly 11 per cent (year-to-date) so far in 2022. It is about 30 per cent off the record high of $69,000 Bitcoin achieved in November last year. The global cryptocurrency market cap stands at $1.95 trillion.
Ethereum and Other Cryptocurrencies
The world's second-largest cryptocurrency, Ethereum, also fell more than 2 per cent to $2,857. The price of Dogecoin fell nearly 3 per cent to $0.11 while the Shiba Inu was down around 4.5 per cent to trade at $0.000022. Other digital tokens such as Polygon, Litecoin, Stellar, Uniswap, Solana, Polygon, Polkadot, Cardano also declined in performance over the past 24 hours, while Tera rose over 2 per cent.
Why The Volatility
Cryptocurrencies have been engulfed by the same forces that have hurt other risk assets, including US stocks, this year. The recent volatility in cryptocurrencies comes amid a broad market sell-off arising out of geopolitical tensions triggered by the Russia-Ukraine crisis. On the other hand, the US Federal Reserve has increased interest rates. The Federal Reserve has made it clear that interest rates will be increased in the coming 6 Fed meetings.