Investors lost more than $8 billion in a day due to the collapse of the crypto market

20-05-2021

Recently, the cryptocurrency market has been upsetting traders with sad incidents. For example, investors lost more than $8 billion overnight amid the collapse of bitcoin. Bitcoin is now in a very unstable position after the latest news from Elon Musk. 

Current market situation

The rate of Bitcoin fell to $31 thousand on May 19. The last historical high of the price of the main digital currency was recorded on April 14 at above $64 thousand. A similar situation was observed in March 2020. At the time of writing, Bitcoin has stabilized and rose to $41,800.

It is not only bitcoin that has fallen in the crypto market lately. So, on May 20, there were observed fluctuations in the rates of other digital currencies:

  • XRP. The digital coin lost 19.83%, but in the afternoon its value rose by 17%;
  • Litecoin. During the day the currency fell by 20% and then jumped by 22%;
  • Ethereum. The second most popular digital coin fell 17% in a day and then recovered 24%;
  • Cardano. This cryptocurrency on the night of May 19 to 20 lost 23% of its value. But in the second half of the day, the rate began to grow and rose by 13%.

According to analysts, in the next week, the market may recover from the fall. Experts believe that the collapse of the rates of many popular cryptocurrencies, especially bitcoin, was triggered by traders’ panic. As a result, investors began to actively close their positions. Experts recommend in the near future to closely monitor the market situation and not panic.

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