#CRYPTO #HECATOMBE #TOTAL #COLLAPSE #rumors #war #Iran #Israel #tops
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Since per Bitcoincome we saw a few hours agoit’s basically a bad day, but in the order of things for an asset that remains quite volatile, for the world alt the same cannot be said. For those who are the assets risk on of a market already risk onis a terrible day, with losses often exceeding 20%.
Among the worst of the day to stay in the top 100 we have dYdX, but also Wormhole, Pepe, WIF, Mina, Conflux, Sui, as well as Arbitrum, Bonk and a more general set of currencies which have always been more volatile than the average of the top companies.
A lesson for traders and also for investors with a broader time horizon. When the game is hard, Bitcoin, Ethereum and the rest of the tops behave in one way, le altcoin with a lower market cap… in another. Situation that we continue to monitor on ours Telegram channel and which remains of great concern.
Collapse of US stock markets also sinks the crypto world
The analysis is not much different from the one we formulated a few hours ago. And there is little to add regarding the reasons for the collapse – which affects the financial markets more generally and not just the crypto one. Unfortunately, the winds of war are blowing violently across the Middle East, with Bloomberg and other leading newspapers reporting on an imminent Iranian attack on Israel.
An attack which significantly extends the conflict that started a few months ago and which is upsetting the markets, for an eventuality which, although on the table, the markets do not seem to have priced in in advance.
Bitcoin loses around 5% at the time of writing, after recovering from a flash crash which had brought him to $65,000. An event exogenousof the important ones (but perhaps not too much in the medium term) which peppers with worries the path towards the halving, which will be in exactly a week or so.
- The lesson for those who hang out in low-cap altcoins
Unfortunately, the market has imparted the hardest lesson to the sector small-cap altcoins. dYdX, Bonk, WIF, Conflux, Mina, Gala, Injective lose huge figures, all in negative double figures in the space of 1 hour. The performance of a Bitcoin SV which some believed to be revived after the closure (in a clear and negative way) of Craig Wright’s lawsuit against COPA was also terrible. To complete the meme picture, Floki also did badly, losing 20% in the space of a day and almost 10% in the space of 1 hour.
Looking for the bottom
The next few hours, while everyone would certainly have preferred a different Friday evening, will be about searching for bottomfor a possible restart provided that the situation does not worsen further on a geopolitical level.
They will be hours of tension, which for many will turn into a very, very expensive lesson on allocation, although a black swan of this type was perhaps unlikely to be foreseen in such a short period of time.
For the rest, there is little to console those who invest in traditional markets: DOW Jones loses more than 2.5%. SPX500 does little better with -1.75% at the time of writing. NASDAQ 100 is the best, despite losing 0.7%. There are few people who will laugh today, or rather very few, at the emergence of much more serious problems than a collapse of the crypto market.
