Crypto market loses $50 Billion as Bitcoin, top cryptocurrencies slump

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Last Updated on 25 July 2022 by CryptoTips.eu

Jeroen Kok

Jeroen is one of the lead copywriters on Cryptotips.eu and discusses all recent events in the crypto market. This includes news updates, but also price analyzes and more. He developed his passion for cryptocurrency during the bull run in 2017. He has learned a lot since then. The combination of cryptocurrency and creative writing is perfect for Jeroen and an excellent way to share his knowledge with a wide audience. Find me on LinkedIn / [email protected]
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The crypto market has been in a downward move for several weeks now and seemed to have finally found support around $20,000. After closing the week with Bitcoin at over $20,000, there was optimism that the market could be set for a flight bounce back to $25,000.

However, this hope was dashed as the market tumbled again, shaving off $50 billion from the total market cap. As a result, Bitcoin dropped to a 6-day low, dragging top altcoins like Ethereum, Solana and MATIC with it.

After hitting $24,000, the highest price in over a month, Bitcoin dropped below $22,000 as a result of this slump while the other top alts dropped by over 5% each. 

This is coming days after it was announced that Tesla had sold a significant part of its Bitcoin holdings. The news affected the price as at the time, but the asset had recovered and the rest of the market with, before the fresh Monday crash.

There may be a further move downwards as traders expect the price of Ethereum to crash ahead of the FOMC meeting where a new hike in interest rates will probably be announced. This will probably spread to the rest of the market as is usually the case when there is an increase in interest rates. 

If this plays out, Bitcoin and the other altcoins could be heading downwards to lower levels as the week progresses. Meanwhile, some experts believe the market could go much further down. 

Rich Dad, Robert Kiyosaki has stated his position on this, saying he is waiting for Bitcoin to go lower to buy more at a lower price. As Bitcoin mostly dictates the tone for the rest of the market, this could mean a much more drastic drop from here with or without the interest rate hike, the question is when?

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