Bitcoin (BTC) and the other top ten currencies are in the red today; digital currencies are giving up all the gains they generated during the last couple of days. Bitcoin price slumped again close to the $11,000 mark, while the double-digit decline in Ripple (XRP), NEO (NEO), and Stellar (XLM) prices slashed cryptocurrency market capitalization to $445 billion – down from Mondays high of $470 billion.
The crypto market hasn’t experienced any major supporting news from the market; the recent rally was based on speculations regarding the regulatory actions – indeed prices steadily moved higher in the last few days despite strong warnings from regulators and market pundits.
Ripple, NEO, and Stellar Lead the Selloff
Source Image: coinmarketcap.com[1]
Ripple price reversed all the gains it had generated amid speculations of the coins inclusion to the Coinbase trading platform. Coinbase management has refuted all the rumors – in fact; they denied the addition of ripple or any other digital currency to their platform. Ripple price currently trades in the range of $0.94 – XRP price declined 11% today.[2]
NEO coin has also been under intense pressure; traders are criticizing NEO for its centralized nature and the node crashes. Reports show that most blockchain technologies have hundreds of nodes and they shouldn’t have a center point of failure. Neo price plunged from $145 at the beginning of the month to $106 at present – the price dipped 10% today alone.[3]
Stellar price grew sharply on Monday – the price has hit $0.40 mark in mid-day trading before retreating to $0.35 on Tuesday. The rally in ripple price also supported XLM on crypto exchanges. Stellar has also been expanding its penetration in the financial sectors, supported by its blockchain technology which is quite similar to Ripple. [4]
The Broader Selloff Impacts the Entire Crypto Market
The entire crypto market retreated from Mondays high; the market sentiments moved towards regulators – who are actively criticizing cryptocurrencies and warning investors against complete losses.
European Commission financial services commissioner, Valdis Dombrovskis strongly admired the innovation of blockchain technology. However, he strongly criticized the cryptocurrency mania. He said: “Cryptocurrencies – which are not currencies in a traditional sense and whose value is not guaranteed – have become subject to considerable speculation: this exposes consumers and investors to substantial risk, including risks to lose their investment.”[5]
Featured Image: Depositphotos/© aa-w
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References
- ^ coinmarketcap.com (screenshots.firefox.com)
- ^ refuted all the rumors (www.zdnet.com)
- ^ node crashes (cryptocurrencynews.com)
- ^ sharply on Monday (cryptocurrencynews.com)
- ^ cryptocurrency mania (www.express.co.uk)
