Bitcoin’s rally above $28,000 following Grayscale’s win over the SEC was short-lived as the asset has lost all gains by dumping below $26,000.
Most altcoins are also deep in the red, with DOT, MATIC, LTC, and BCH plummeting by more than 5% overnight.
BTC Dumps Hard
After days of trading sideways at around $26,000, bitcoin finally made a move on Tuesday following a positive development in Grayscale’s legal battle with the US Securities and Exchange Commission. As a US Judge sided with the crypto asset manager, BTC exploded by over two grand in hours and charted a multi-week high above $28,000.
However, that rally was short-lived. BTC started to lose value almost immediately after its local peak and had retraced by $1,000 by yesterday morning.
The worst was yet to come, though. The cryptocurrency went through another leg down late last night when it slumped by approximately $1,500 in an hour or so and fell to a weekly low of $25,700 (on Bitstamp).
Despite recovering a few hundred dollars since then, bitcoin is still inches below $26,000 and is about 5% down on the day. Its market cap has plunged to $505 billion and its dominance over the alts is back down to 48.4%.
Alts Deep in Red
The alternative coins have mimicked BTC’s performance as of late, with notable price gains mid-week and similar declines in the past 24 hours.
Ethereum exceeded $1,750 during its rally upwards but has retraced back down to $1,650 as of now. Over the past 24 hours, Binance Coin, Ripple, Cardano, Dogecoin, Solana, and Shiba Inu have all slid by 3-5%.
Even more losses come from the likes of Polkadot, Polygon, Litecoin, and Bitcoin Cash. All of them have slumped by 5-7%.
TONCOIN and Tron are among the few exceptions, with minor gains from the larger-cap alts, while MKR is up by more than 6% from the mid-cap ones.
Overall, though, the total crypto market cap has dumped by $40 billion in a day and is back at the same spot it was before Grayscale’s win at $1.050 trillion.
Binance Free $100 (Exclusive): Use this link to register and receive $100 free and 10% off fees on Binance Futures first month (terms).PrimeXBT Special Offer: Use this link to register & enter CRYPTOPOTATO50 code to receive up to $7,000 on your deposits.Disclaimer: Information found on CryptoPotato is those of writers quoted. It does not represent the opinions of CryptoPotato on whether to buy, sell, or hold any investments. You are advised to conduct your own research before making any investment decisions. Use provided information at your own risk. See Disclaimer for more information.
Cryptocurrency charts by TradingView.
