The crypto market has lost 47% of its value in just 7 days
- The market capitalization of global
cryptocurrencieshas dropped by 47% in just the last seven days, according to data on CoinMarketCap. Bitcoinhas fallen roughly 40% since hitting all-time high in mid-April.
The market cap for global digital currencies came in at $1.35 trillion on Wednesday, down from a recent peak of $2.56 trillion on May 12, according to data from CoinMarketCap.com.
"The cryptocurrency market is under relentless selling pressure at the moment," Nicholas Cawley, an analyst at DailyFX, told Insider. "The speed of the sell-off suggests that leveraged accounts are being hit badly and the indiscriminate slump across the space also points to a lack of buying intent."
Bitcoin at one point fell as much as 31%, to $30,016.83, while ether slipped by 44% to $1,918.77 at intraday lows.
Bitcoin still hasn't recovered from Elon Musk's climate-related concerns over its mining process, which sent shockwaves across the digital asset ecosystem.
But some experts such as Jeffrey Wang, head of America's at the Amber Group, are not too concerned.
John Wu, president of Ava Labs, the team behind altcoin Avalanche, for his part noted that recent news such as China and Musk are just excuses for the sharp movements - not the real cause.
"Over the last few months, growth stocks in the equity
Looking ahead, Wu said some of those growth names have stabilized. Cryptocurrencies, he said, could be at the tail end of this correction as the last asset class to absorb the slide in growth stocks.
The cryptocurrency market capitalization hit $2 trillion for the first time on April 5, doubling in value in just three months. It has breached the $2 trillion mark several times since.
Read more: 'Wolf of All Streets' crypto trader Scott Melker breaks down his strategy for making money using 'HODLing' and 100X trade opportunities - and shares 5 under-the-radar tokens he thinks could explode
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