Cryptocurrency Price Today: Top Cryptocurrency Prices Today: Terra Cuts Investor Assets In Half; Bitcoin, Shiba Inu, Solana Tank up to 17%

NEW DELHI: There was a bloodbath in the crypto market on Tuesday as top crypto tokens wiped out up to half of investors’ wealth in just a few hours. Investors rushed to sell digital assets like there was no tomorrow.

The euphoria about cryptocurrencies sparked by broader adoption, growing institutional interest and awareness of blockchain projects has fizzled out and is now being replaced by fears of higher interest rates, geopolitical turmoil and a looming recession.

Aside from the dollar-pegged stablecoins, all major crypto tokens and altcoins bled. Terra plunged over 49 percent, wiping out half of investor wealth, while Shiba Inu’s 17 percent drop pulled it out of the top 15 crypto tokens.

Bitcoin plummeted about 10 percent to hit 10-month lows, while Ethereum fell another 8 percent. Solana, Cardano, Avalanche, BNB each plunged into the 12-16 percent range.

The global cryptocurrency market cap traded significantly lower at the $1.42 trillion mark, falling about 8 percent in the past 24 hours. However, the total cryptocurrency trading volume increased by about 85 percent to $181.90 billion.

What is cooking in India

What could further dampen crypto investor sentiment in the country is that the Goods and Services Tax (GST) Council is considering a 28 percent tax on cryptocurrencies to match the current GST on casinos, betting and lotteries, multiple media reports have claimed.

The services like crypto mining along with sales and purchases are reportedly likely to attract the 28 percent GST if the proposal is approved at the next GST meeting. The date for the next GST meeting has not yet been set.

take experts

Bitcoin tested its support at the $30,000 level yesterday, its lowest since July 2021. It has broken its short-term uptrend and now sees lower support between $27,000 and $30,000, said Edul Patel, CEO and co-founder of Mudrex

Ethereum also hit a two-month low on Tuesday, he added. “Most cryptocurrencies have fallen significantly since the past week following a rate hike and geopolitical tensions on the other side. In the coming days this would be the case

for the entire crypto spectrum.”

Global Updates

• There was a surprising amount of inflow into digital asset funds, the first time money has flowed into the funds in four weeks. This happened despite a price drop for Bitcoin (BTC) and most other cryptocurrencies.

• Cryptocurrency exchange Coinbase Global, Inc. (COIN) will continue to face headwinds as the company is set to report first-quarter results after the market close on Tuesday.

• Meta CEO Mark Zuckerberg said in a video Monday that Instagram will begin testing non-fungible token (NFT) integrations this week.

• Luna Foundation Guard (LFG) will lend $1.5 billion worth of Bitcoin (BTC) and TerraUSD (UST) to defend its algorithmic stablecoin’s peg to the US dollar.

Giottus Crypto Exchange Tech View
Ethereum, the second largest crypto by market cap, has fallen along with the rest of the market. From a recent high of almost $3,600, it is now trading at just over $2,200. That 40% drop isn’t as bad as it might seem, however.

ETH has shown notable resilience as it hasn’t depreciated against BTC, with the ETH/BTC pair trading practically in a tight range since April. While bouncing off a key resistance level of 0.075, its price action paints a bullish picture for ETH that is likely to bounce faster once the market regains bullish sentiment.

ET STAFF

In terms of dollar value, while ETH shed a key support level near $2,400 and also a long-term support trendline, there is still a key level at $2,160 that should put the brakes on any further downside.

After that, ETH will have to deal with $2,400 again and the psychological $2,500 level. This should line up nicely with BTC at $33,300 – which is a relatively modest target for a recovery rally for the largest cryptocurrency, should it materialize.

Main levels:
Support: $2,200, $2,160

Resistance: $2,380, $2,500

(The views and recommendations in this section are the analysts’ own and do not represent those of ETMarkets.com. Please consult your financial advisor before taking a position in the assets mentioned.)

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