Cryptocurrency Market Experiences $15 Billion Correction After New York Blockchain Week
Bitcoin (BTC) has been traded close to $8,000 during the last few days after dropping to $6,400 a few days ago. There has been a very positive sentiment around it during the last few months since it was able to break from a bear trend that started in January 2018. However, the euphoria seems to be falling.
Crypto Market Falls After Sentiment Change
During the last week, the Consensus conference, the flagship event of CoinDesk, has shown that although the crypto market is enthusiastic about the future of the space, they remain cautious about the industry.
At the time of writing this article, the market is operating stably. Most of the top 10 digital assets are operating with almost no change in a period of 24 hours. Bitcoin expanded 0.54%, followed by Ethereum (ETH), that grow 0.97%, XRP with 0.16%, Bitcoin Cash (BCH) with 1.73%, EOS with 0.55% and Litecoin with -0.3%. The largest winner among the top ten is Cardano (ADA), that expanded 2.27% in the last 24 hours.
Since its peak on May 16, the cryptocurrency market has already lost more than $16 billion in value. During the same period of time, Bitcoin seems to have been the most affected digital currency in terms of market dominance. From over 60% dominance, Bitcoin now has under 57%.
It seems that the market is experiencing a Consensus Hangover in which investors’ euphoria declines and prices drop after it. In general, the market becomes very bullish before the Consensus conference but then it tends to fall. The only period of time in which the event didn’t help the market growth was back in 2018 at the end of the Initial Coin Offering (ICO) expansion.
As per a recently released blog post by Poloniex analysts, the price of Bitcoin tends to increase one month before the event and it continues for a month afterward. However, after the event, there is an immediate price decrease.
Currently, each Bitcoin can be purchased for $7936 and it has a market cap of $140 billion as reported by CoinMarketCap.