Cryptocurrency News

Crypto Market Sinks To $300B While Bitcoin Transactions Close To 3-Year Low

The global crypto market lost $200 billion on Tuesday morning, causing a loss of $300 billion for the week. Momentum Pushes Global Market Cap Down Since Bitcoin (B T c) reached the most recent peak in April, followed by the altcoin peak in early May. After a loss of $1.1 trillion since then, last quarter’s growth has completely eroded the breadth of the crypto space.

The recent downturn also coincided with a significant drop in the number of transactions flowing through the bitcoin blockchain. On May 30, the number of daily bitcoin transactions dipped to as low as 175,000 – a nearly three-year low that stretches to September 2018. data From Bitinfocharts.

The number of bitcoin transactions reached 392,000 in January 2021, and remained fairly stable until April 15 – two days after the coin’s price. Since then, both have declined, with transactions falling by more than 50% throughout May.

The same general pattern was observed with ether (ETH), Where daily transactions It fell from 1.6 million on May 11 (the coin’s price peak on the same day) to 1 million by June 6 – a drop of 37.5%.

The number of on-chain transactions does not paint the full picture for bitcoin or ether due to the former’s use in bitcoin or ether. power network, and the use of the latter by its own multitude layer-2 protocol

The dollar value of coins locked in the Lightning Network has also fallen drastically since reaching an all-time high of $76 million on April 14. $47 million till the time of publication.

Whether the general decline continues is a subject of intense speculation for market analysts, who provide both optimistic and inauspicious Predictions for the future direction of the BTC coin price.