Cryptocurrencies across the market have been suffering a major downside since the crash. Since then, the market cap of the cryptocurrency market has lost hundreds of billions of dollars. The value of bitcoin, ethereum and others all fell sharply in a week. In all of this, however, some digital assets have been hit harder than others. This report looks at these cryptocurrencies.
Metaverse tokens are hugely popular
The recent drop in the cryptocurrency market has been characterized by bloody streets. As expected, Bitcoin fell 52% from its all-time high, dragging down other digital assets. Ethereum, the second-largest cryptocurrency by market cap, is down 54% from its all-time high. While these cryptocurrencies have seen significant headwinds, others have fallen even more since then.
Related reading | Market sentiment collapses as sell-off drags Bitcoin to $33,000
The Metaverse token caused a stir when social media giant Facebook announced it was changing its name to Meta and entering the Metaverse space, and it suffered the most from the debacle. These coins, which have rallied to multiple all-time highs over the past few months, have fallen 68% from their all-time highs.
Metaverse tokens take some of the biggest hit | Source: Arcane Research
MANA, SAND, and AXIE are some of the most popular Metaverse tokens and have seen their prices rise a lot with their popularity. However, they have been unable to hold up well as the market crashed. All of these coins have fallen by more than 68% since hitting all-time highs. All three tokens that encountered disgust fell, trading at $2.27, $3.27, and $52.66, respectively.
What about layer 1 cryptocurrencies?
Layer 1 cryptocurrencies have also taken a major hit, but are more diverse than Metaverse tokens. Heavy hitters like Solana (SOL) and Cardano (ADA), the hardest-hit Layer 1 cryptocurrencies, both went the way of the Metaverse token, losing over 68% since its all-time high. Other lesser-known Layer 1 tokens, however, have a different story.
Related reading | Ethereum leaves past ETH 2.0 in new roadmap rebrand
FTM, ONE, ATOM and Near, commonly referred to as FOAN, caused a stir while others suffered. Each of these cryptocurrencies managed to outperform the market at a time when altcoins were selling off as Bitcoin fell.
A look at Decentralized Finance (DeFi) paints a sadder story. The space, which brings financial products closer to the average investor, saw some of the biggest declines. Tokens in this space are down as much as 80% since their all-time highs.
The cryptocurrency market has successfully weathered the crash, but not before losing a lot of value. Overall, the cryptocurrency market is now down 50% from its all-time high. At the time of writing, it is now $1.686 trillion.
Crypto market cap crumbles to $1.6 trillion | Source: Crypto Total Market Cap on TradingView.com
Featured image from Bitcoin Magazine, charts from Arcane Research and TradingView.com