Cryptocurrency markets shaken, investors’ wealth is halved

New Delhi: The cryptocurrency market entered its worst phase on Tuesday. Bitcoin fell below $30,000 a coin and shocked millions of investors. The market is down 13 per cent, its lowest level this year. Bitcoin is down 55% from its all-time high of $69,000 in November last year. Other cryptocurrencies Cardano (20 per cent), Solana […]
 


Cryptocurrency markets shaken, investors’ wealth is halved

New Delhi: The cryptocurrency market entered its worst phase on Tuesday. Bitcoin fell below $30,000 a coin and shocked millions of investors. The market is down 13 per cent, its lowest level this year. Bitcoin is down 55% from its all-time high of $69,000 in November last year.

Other cryptocurrencies Cardano (20 per cent), Solana (16 per cent), XRP (13 per cent), BNB (16 per cent) and Ethereum (10 per cent) also fell in double digits. Experts say rising interest rates coupled with weak economic activity has scared off investors.

Terra saw a fall of 49 per cent. It wiped out half of investors’ wealth, while the Shiba Inu’s 17 percent drop pushed it out of the top 15 crypto tokens. The global cryptocurrency market capitalization is rapidly shrinking to $1.42 trillion. In the last 24 hours, it has fallen by about 8 percent. However, the total cryptocurrency trading volume has increased by almost 85% to 181.90 billion.

Meanwhile, crypto investors in India may have a bad mood. The Goods and Services Tax (GST) Council is considering imposing a 28 percent tax on cryptocurrency, similar to the current GST on casinos, betting and lotteries. According to reports, if this proposal is passed in the next GST meeting, then sales and purchases as well as services like crypto mining are likely to attract 28 per cent GST. The date for the next meeting of GST is yet to be decided. According to experts, bitcoin hit 30,000 yesterday, its lowest level since July 2021. It broke its short-term uptrend and is now showing lower support between $27,000 and $30,000.