Markets
How the cryptocurrency market crash affected inflows
The cryptocurrency market has seen outflows over the past 48 hours with leading assets such as Ripple and Cardano showing similar numbers before a rebound. Broader crypto assets traded sideways last weekend and into this week, erasing earlier gains. As of this writing, the cryptocurrency market capitalization stands at $2.7 trillion, down 0.2% over the past 24 hours, with volumes down to $71.5 billion.
While Bitcoin attempted a quicker recovery, altcoins experienced larger outflows. Ripple data extended outflows amid the previous downtrend. Sideways trading in the asset has triggered conversations about the impact of regulatory challenges with the Securities and Exchange Commission (
SEC) on the price of the good.
Ripple posts larger weekly losses
The ripple price is slightly in the red zone with a 24-hour drop of 0.1%. This extended the weekly data to 4.1% as its bearish sentiment continues. XRP saw a 1% decline this month influenced by the broader cryptocurrency market crash. As trading volumes increase at midday, Ripple still expects a rally towards the end of the year.
The market capitalization of XRP fell to $27.5 billion while volumes stood at $1 billion. Trading at $0.496, Ripple is 87% behind its all-time high of $3 in 2018, but bulls continue to ignite around the price hitting $1 in the next market rally. Regulatory hurdles have also limited inflows, leading to weakening sentiment despite recent partnerships.
This year, Ripple announced partnerships with traditional financial institutions to expand cross-border payments. This month, the company struck a deal with Clear Junction to boost cross-border payments in the UK and EU.
Cardano tries to escape
Unlike Ripple, Cardano has seen fewer outflows in the last 24 hours. The community doubled ETH killer fell 0.2% today recording a weekly outflow of 3%. Hourly trading shows that the asset has slightly entered the green zone before a slight correction. ADA trades at $0.4489 with a market capitalization of $15.5 billion. The asset saw an increase in daily volumes above $433 million, with bulls anticipating higher flows in the event of a market rebound.
Read also: 4 Cryptocurrencies to Have for Long-Term Gains in 2024
David is a financial news contributor with 4 years of experience in Blockchain technology and cryptocurrencies. He is interested in learning about emerging technologies and has an eye for the latest news. Staying up to date on trends, David has reported in several niches including regulation, partnerships, cryptocurrencies, stocks, NFTs, etc. Away from the financial markets, David cycles and rides horses.