One-Third of ETH Value Lost in a Week
The world crypto economy is facing massive turmoil as the second largest crypto, Ethereum, has seen prices reduced to an all-time low out of the last 16 months.
This has led to a market crash similar to the one experienced decades ago during the Dot-Com bubble. There has been severe volatility in the digital currency market, as cryptocurrency was seen struggling on Wednesday. It is was on Wednesday morning when the value of Ethereum fell by sharp 8 percent, leading to a valuation of $169. This was recorded as the lowest price since May 2017.
A Tough Time for Crypto
It is indeed perilous to see two of the world’s largest cryptocurrency facing a steep fall. After Ethereum, it was Bitcoin that nailed the market cap. The value of Bitcoin fell by 8 percent, leading to $6234 prior to its efforts to surpass $6,500 on Thursday, but its relatively stable as compared to other digital currencies
Following the crash, a lot of cryptocurrencies have eventually gone down. The Bitcoin Cash fell by 5.5, XRP went red by 2.8 percent. Even Stellar dropped down to $0.18 after a downfall of 5.5 percent. The same story occured with EOS, which is currently at $4.81 after reducing by 1.1 percent.
Despite all the volatility and price fluctuations, co-founder of Ethereum, Vitalik Buterin, is still holding hopes for the digital currencies to make a comeback. At the Ethereum Industry Summit in Hong Kong, he further stated that cryptocurrency has affected people’s everyday life, and that even the finance illiterate have heard about crypto and blockchain at some point. He aspires that no other sector has as many hopes of development as the cryptos.
Amidst high expectations, the market crash is getting worse than Dot-Com era, which declined by 78 percent in 2000.