The constant volatility experienced in the cryptocurrency industry has dented the valuation of the entire sector. Within 9 months, the valuation of the entire cryptocurrency industry has suffered a great loss in its valuation.
Cryptocurrency Industry Loss Almost $1.27 in Valuation
As the year shifted from 2021 to 2022, it had a huge impact on the overall valuation of the cryptocurrency industry.
As the year transitioned, it saw the valuation of the overall cryptocurrency industry lose a huge chunk. It reportedly lost $1.27 trillion, which is a gigantic figure for the entire cryptocurrency industry.
This means that all major cryptocurrencies that had high valuations have suffered tremendous losses in their valuations.
According to an estimation, the cryptocurrencies that had valuations over $1 billion have lost almost more than half of their valuations to the market downfall.
All the major cryptocurrencies have recorded dramatic losses in their valuations that were once over $1 billion.
53 Digital Assets had Valuations over $1 Billion
According to data from CoinMarketCap, there were 118 cryptocurrencies had their market valuations over the $1 billion mark on January 1, 2022.
However, as of September 26, the total number of cryptocurrencies with valuations of over $1 billion has dropped to 53. This is less than half of what was recorded at the start of the year 2022.
Although Bitcoin is still the cryptocurrency with the largest valuation, which is hundreds of billions, it has still lost a good part of its valuation.
Simply put, the total number of cryptocurrencies that once had their valuations over $1 billion has dropped by 55.08%. The drop has been recorded from the start of the year 2022 until September 26.
Market Valuation Lost in September alone
In the month of September alone, the market valuation of the cryptocurrency industry recorded a major dip. The data shows that in September, the overall valuation of the crypto-verse dipped by $165 billion.
The major chunk of the drop for September was recorded specifically in the week that was from September 12 to September 19.
At the beginning of the year 2022, the overall valuation of the crypto-verse was worth $2.19 trillion, which has now dropped to $925.4 billion.
Cryptocurrencies vs. Exchanges
Despite the dip, the number of cryptocurrencies launched into the crypto-verse has continued rising. The data shows that from June of 2022 until now, the number of cryptocurrencies in the crypto-verse has risen from 19,938 to 21,022.
This means that in the specific period, the total number of cryptocurrencies has risen by 5.44%. On the other hand, the number of cryptocurrency exchanges has fallen by 3.41%.