- At press time, ether was trading at around $2,469.50, down 26.36% in the past 24 hours, according to FTX and TradingView, marking the biggest daily loss for ether since March 12, 2020.
- "They are all dumping today and all correlating," said Joel Kruger, currency strategist at LMAX Digital.
- "Without significant mainstream adoption, recognition and utility, alts are, and have always been, more speculative in nature than bitcoin," said Hunain Naseer, senior editor at OKEx Insights. "This means they rise faster during bull runs and drop sharper during declines."
- The correction across digital assets has caused a loss of more than $460 billion in the past 24 hours for the crypto's total market capitalization.
- According to TradingView, the total market capitalization for crypto assets now stands at around $1.565 trillion, down 21.96% in the past 24 hours.
- "The catalyst is a market that had been deeply at risk for a pullback following a parabolic run up and a market that is feeling a little more pressure from global macro forces that are weighing on risk correlated assets," Kruger said.
- "The biggest risk to crypto now, at least over the coming weeks, is risk that we see downside pressure in U.S. equities," he added.
- Also on Wednesday, U.S. stocks started falling, led by major losses on shares of tech stocks, according to the Wall Street Journal.
CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. In November 2023, CoinDesk was acquired by the Bullish group, owner of Bullish, a regulated, digital assets exchange. The Bullish group is majority-owned by Block.one; both companies have interests in a variety of blockchain and digital asset businesses and significant holdings of digital assets, including bitcoin. CoinDesk operates as an independent subsidiary with an editorial committee to protect journalistic independence. CoinDesk offers all employees above a certain salary threshold, including journalists, stock options in the Bullish group as part of their compensation.