The price of Bitcoin fell below $30,000 on Tuesday for the first time in 10 months. So, this happened because investors were afraid of a tighter monetary policy. The market value of cryptocurrencies has dropped by more than $800 billion in the last month. So, if next time anyone asks you to accept their payment in Bitcoin, the following are the reasons for accessing bitcoin on android.
The last time the Federal Reserve raised interest rates, in 2016, the bitcoin market was a lot smaller. Because of this, some people are worried about how well it will fit into the rest of the financial system.
How big is the cryptocurrency Market?
The value of the cryptocurrency market went over $3 trillion in November when the price of bitcoin went over $68,000. Because of this, the whole bitcoin market is now worth $3 trillion.
Bitcoin, which is worth about $600 billion, makes up most of this value. On the market, there is about $285 billion worth of Ether.
Even though cryptocurrencies are getting more and more popular quickly, the market for them is still small.The Securities Industry and Financial Markets Association says that the value of the U.S. equity markets is currently $49 trillion and that the value of the U.S. fixed income markets will reach $52.9 trillion by the end of 2021.
Who is in charge of cryptocurrencies, and how do they move around?
At first, individual investors drove the market for cryptocurrencies, but now exchanges, corporations, banks, hedge funds, and mutual funds are getting more interested.
Even though it’s hard to tell how many retail investors there are compared to institutional investors in the cryptocurrency market, Coinbase, the largest cryptocurrency exchange in the world, said that about half of the assets that were traded on its platform in the fourth quarter were owned by both institutional and retail investors.
By 2021, institutional clients of Coinbase will have traded a total of $1.14 trillion worth of cryptocurrency. This is a big jump from 2020 when only $120 billion was traded.
A small number of people own most of the bitcoin and Ethereum in circulation. According to a survey from the National Bureau of Economic Research (NBER) that came out in October, 10,000 bitcoin investors, both individuals and businesses, control about one-third of the bitcoin market, and 1,000 investors hold more than three million bitcoin tokens. About 14% of Americans have investments in digital assets.
As the markets for cryptocurrencies fall, Bitcoin’s price has dropped to $33,583.
All the cryptocurrencies on the market are worth $1.54 trillion less than last week, and most of the most expensive coins lost value over the weekend.
Money has been lost on the bitcoin markets in the last day and a half. The value of the world’s markets has dropped by 2.51 percent in the last 24 hours. At 8:00 AM IST, the total value of the world’s markets was $1.54 trillion.
After breaking through support levels, Bitcoin has dropped by 2.9 percent and is now trading at $33,583.Ethereum’s price, which has been going down a lot, fell by 2.90 percent to $2,461.
In the last 24 hours, the value of USDT Tether has stayed the same, but the value of USDC stablecoins has gone down by 0.1%.
One BNB token is now worth 2.33 percent less than it was before. Solana’s price has dropped by 2.78 percent. In the last 24 hours, the value of XRP Ripple has gone down by 1.66 percent. The price of ADA tokens went down 1.15 percent of the time. The price of Terra LUNA has gone down by 4.40 percent in the last 24 hours. Terra USD is 0.36 percent in green.
Most of the top tokens lost a lot of value over the weekend, and a lot of crypto tokens dropped below their support levels. Instagram plans to allow NFTs like Ethereum, Solana, and Polygon to be used on its platform in the near future.