Majority cryptocurrencies opened with small losses on Monday, February 6. Bitcoin recorded a loss of 1.79 percent to open at the price point of $22,860 (roughly Rs. 18.8 lakh). International exchanges such as Binance and Coinbase also reflected dips on a similar scale. The cryptocurrency witnessed a significant loss in value over the weekend. Between February 3 and today, BTC dropped by $687 (roughly Rs. 56,147), but managed to retain its recently gained value.
Ether tailed Bitcoin to record losses. The second most expensive cryptocurrency saw a 1.77 percent dip in its value on Monday. The price of ETH, at the time of writing, stood at $1,626 (roughly Rs. 1.34 lakh), showed the crypto price tracker by Gadgets 360.
“This decline in prices echoes the drop in US stocks due to the unexpected rise in job growth numbers on Friday. This has led to concerns about potential interest rate increases to regulate the economy and manage inflation,” Edul Patel, the CEO and Co-Founder of Mudrex crypto investment platform told Gadgets 360.
Stablecoins pegged against the US dollar such as Tether, Binance USD, USD Coin, and Ripple witnessed losses.
Other popular altcoins that tumbled down the price ladder also include Cardano, Polygon, Solana, Polkadot, and Litecoin alongside Avalanche, Tron, Uniswap, and Cosmos.
The total crypto market valuation dropped by 1.17 percent in the last 24 hours. As par CoinMarketCap, the crypto market cap currently stands at $1.06 trillion (roughly Rs. 87,77,613 crore).
Meanwhile, only a small number of cryptocurrencies opened with gains.
These include Leo, Bitcoin SV, Iota, and NEM.
Augur, Dia, and Circuits of Value also reeled-in gains.
In the midst of this volatility that largely impacts the crypto sector, a JP Morgan study recently said that institutional investors are fearful about experimenting with crypto assets.
JP Morgan surveyed 835 traders from sixty international locations between January 3 to January 23 this year. The study founded that 72 percent of institutional e-traders are now sceptical about experimenting with cryptocurrencies in 2023.
In the coming days, the Wall Street bank predicts, cryptocurrencies will merge with traditional finance. This will happen as more nations release rules to govern the digital assets sector.
Cryptocurrency is an unregulated digital currency, not a legal tender and subject to market risks. The information provided in the article is not intended to be and does not constitute financial advice, trading advice or any other advice or recommendation of any sort offered or endorsed by NDTV. NDTV shall not be responsible for any loss arising from any investment based on any perceived recommendation, forecast or any other information contained in the article.