, 2 years ago
Within just a few days the crypto market has experienced a lot of drama over the last week. Bitcoin fell almost 60 % down from its all-time high. Other assets like altcoins or tokens had an unprecedented downfall. In some cases, they lost almost 90 % of their worth.
The most severe impact has been seen in the DeFi ecosystem. Most DEX and governance tokens lost heavily during the sell off. Let’s take a look what happened now that the dust has settled.
Many traders and even experts where took completely by surprise when the market took a sharp move down south on May 19th. Most assets lost half of their value that very same day. The reason why this is not taken as a sign for an even heavier loss lies within the past of the crypto market and particular BTC.
During the bull run in the year 2017 there were several occasions when BTC simply lost between 30 % and 40 % value in a relative short amount of time. Many analysts believed that history was just repeating when they saw huge losses throughout the whole market.
But this time it was indeed different. Between May 19 th and May 20th, the market seemed to have recovered and throughout the industry many believed that this was just a dip. But on May 21th the whole market came crashing down.
There are three types of groups who are representing different strategies to deal with this situation. Most of them have been discussed by crypto magazines, influencers, analysts and on social media.
A lot of people believe that this is just history repeating itself and that the market is going through cycles. They remain bullish even through sharp drops in price, because the think that the market will recover later this year.
Another point of view is being bearish all along. This group of people believes that everything is over, because this type of crash has been unprecedented in its extent and severeness. They believe that the cycle is over and that the market will enter a phase were it rather goes down or sideways until the next bull cycle is happening.
The third group of people remains flat. They either sold or hold their crypto still waiting for a strong signal to decide whether to re-buy or finally sell.
Jan 24, 2023
Cardano had a rough start this week with an outage of more than half of its network. Things have been fixed shortly after the incident happened and got a little bit brighter this week. Not because of Cardano’s nodes, but because of a small automotive project in Sri Lanka that is leveraging its blockchain technology.
Jan 20, 2023
Charles Hoskinson is the founder of Cardano, and most of his public statements are broadcast on his own YouTube channel. Hoskinson is usually giving updates on Cardano and the recent developments and upgrades that are in the making. Recently, he announced something that comes as a little bit of a surprise.
Jan 18, 2023
It’s been a long time since something exciting happened for Tezos. The protocol and its community are preparing for a new upgrade with the code name Mumbai and its massive improvements. What is Mumbai, and how is it going to elevate Tezos?
Jan 09, 2023
ChatGPT has been the most exciting thing in the last couple of weeks and it seems that this has also affected the crypto market. AI and big data are not only a short-term trend, but both are technologies that will shape the future drastically.