Global Crypto Economy Faces Massive Downturn, Most Affected Was Bitcoin

Saturday, 4th December 2021, started off in the most disastrous way possible for the global crypto economy. Not a few but almost every single crypto coin was forced to see value decline which was massive and the most affected amongst the cryptocurrencies was none other than Bitcoin whose value declined by 25% at least. The current market value of a single Bitcoin unit is approximately US$ 48,361.

The global crypto-economy crashed for a maximum of 16% in USD on Saturday, 4th December 2021. In less than a day, the crypto economy lost multiple million dollars because of an overall reduction in cryptocurrencies prices.

The crash however affected Bitcoin worse than any other cryptocurrency in the world. Bitcoin saw a price decline of 25% in the first 60 minutes of 4th December. This resulted in a massive decline in Bitcoins value which was otherwise above US$ 53,000 and went below US$ 44,000. Initially, the decline was so sharp that it decreased Bitcoin’s value by 17% in the first place. However, Bitcoin rebounded to some extent and managed to recover at least 7.28% of the lost average. The impact of the crypto market crash was also visible upon Bitcoin’s market capitalization. Because of the crash, Bitcoin’s market cap went below US$ 1 Trillion once again.

If Bitcoin’s past 30 day’s progress is assessed then Bitcoin has lost more than 25.2%. However, in the past 7 seven days, Bitcoin has lost at least 11.5% in value.

At present, Bitcoin’s market capitalization is under US$ 1 Trillion and is in between the range of US$ 875 to 915 Billion.

Bitcoin’s starting value for 4th December was US$ 53,663 Million. But in the first 25 minutes, the value crashed and the price was reduced to US$ 43,563. As of today, only 1.33 Million Bitcoins were being traded by traders and investors. This meant that today’s trading volume for Bitcoin involved only US$ 64.26 Billion. Otherwise, on any normal business day, Bitcoin’s trading volume is more than US$ 300 Billion.

It was however anticipated earlier that the crypto market’s movement was not promising. It was furthermore warned that investors should proceed with caution if they wanted to do any crypto trading. For example, the situation of Bitcoin was not favorable for investments. Especially those investors who were at higher risk that used to trade on a short-term basis. The bitcoin market is however still good for long-term investors because the risk is less.

The latest crash simultaneously affected the entire crypto-economy of cryptocurrencies as well as stablecoins. However, there was one exception with regard to a particular stablecoin namely XEC. While the entire stablecoin industry saw a value decline of 6.67 percent, however, XEC’s value not only resisted the decline but also earned value gains. XEC’s value surged enormously by at least 7.2% in total.