$6 Billion Wiped Out of Crypto Market in 48 Hours: Where to Next?

Over the last 48 hours, since November 7, the global crypto market has lost $6 billion of its valuation as it dropped from $220 billion to $214 billion, while Bitcoin remained stable. On November 6, major cryptocurrencies including Bitcoin Cash (BCH), Ripple (XRP), Ethereum (ETH), Stellar (XLM), and Cardano (ADA) recorded large gains in the range of 5 to 30 percent, as BCH surged by around 40 percent within a two-day span.

Subsequent to demonstrating a significant increase in value, most major cryptocurrencies retraced, which was expected amongst the majority of cryptocurrency traders in the community. Fueled by the drop of Bitcoin Cash and many small market cap tokens, the cryptocurrency market recorded a drop of 2.7 percent in its valuation. But, on a monthly basis, the market is up more than $16 billion since mid-October, from $198 billion to $214 billion.

Since October 15, the crypto market added $22 billion to its valuation, rising by more than 11 percent. A minor correction was expected following a major 11 percent increase within a 30-day span. Despite the 2.7 percent drop in the valuation of the market, the volume of major cryptocurrencies remains relatively high. In early October, the daily trading volume of BTC was hovering at around $3.2 billion. As of November 9, the daily trading volume of BTC remains above the $4.5 billion mark, up 40 percent within the past three weeks. The noticeable surge in the trading activity of BTC and other major cryptocurrencies like Bitcoin and Ethereum is attributable to the general increase in positivity and optimism towards the mid-term growth trend of the market. On November 7, CCN reported that tokens could suffer a correction throughout the months to come if the US Securities and Exchange Commission (SEC) decides that most tokens are securities under existing regulations.