The US Treasury suggests a CBDC could rattle banks
According to a study by the United States Treasury, a CBDC or stablecoin might destabilise the banking system.
A massive 72% of the top 100 cryptocurrencies have taken a huge tumble as a result of the current bear market according to data from CoinGoLive.
Cryptocurrencies with a larger market cap seem to be holding out better than the others. Of the top ten cryptocurrencies – in terms of market cap – only one has dipped further than 90% leading into the crypto winter.
Bitcoin price
The leading cryptocurrency Bitcoin (BTC) is looking at over 70% slashed from its all-time high back in November. Currently, Bitcoin is sitting at a price tag of $21,107.66 USD, nearly 30% has dropped in the last seven days.
Bitcoin price, source: Coingecko
Ethereum price
Ethereum (ETH), the leading altcoin, has slipped by its all-time high of $4,878 USD by almost 80%. Currently, Ethereum is trading at $1,099.88 USD – 5.5% down in the last 24 hours and a massive 38.5% drop in the last seven days.
Ethereum price, source: Coingecko
Altcoins take a huge drop in the crypto market
Bitcoin and Ethereum are tracking downwards, but the rest of the market is suffering worse. Ripple (XRP) is looking at a massive nearly 91% drop from its all-time high. Of the top ten cryptocurrencies, the market is looking at an average of 79% drop in price from all-time high trading values. Of the top twenty tokens, the average fall from all-time high trading values is 81.1%.
The only tokens that are tracking stability are the stablecoins like US Dollar Coin (USDC), Tether (USDT) and Binance USD (BUSD). Pegged to a fixed asset, stablecoins are designed to remain free from the volatility that the rest of the market faces.
Source: Coin360
The cryptocurrency market is not the only assets class to be taking the strain. The economic landscape overall is looking at a massive downturn with stocks driving down, with tech facing a hard time. Crypto, which has been closely trading with the S&P 500, is likely to continue trading similarly, especially as both markets look to struggle the crash of the bear markeet.
every stock in the S&P 500 is red right now pic.twitter.com/vhrfVc1NIz
— Katie Greifeld (@kgreifeld) June 13, 2022