Cryptocurrency market started the week low; Altcoins fell while Bitcoin and Ethereum stabilized.
This comes after Bitcoin had its worst week since May, losing 11% on Thursday night's sharp drop.
Analyst: “The Reason for the Declines is Foreign Pressure on China”
Chris Martin, director of research at Amberdata, believes that external pressure on China is probably the biggest driver of sales. The analyst said:
“Asia plays a big role in crypto, especially with Hong Kong and Singapore opening the doors, but I don't think we will see the bull market go as we hoped or expected due to a larger economic downturn.”
Martin also noted that although BTC and ETH tend to act as more store of value compared to other cryptocurrencies, they have experienced significant drops of 11.5% and 9.8% respectively over the past 7 days. “Overall, altcoin volatility is more pronounced and I think we should see the volatility of these tokens decrease a bit more as more institutions come in through spot ETFs, spot investments, derivatives,” he added.
*Not investment advice.
