Bitcoin and other cryptocurrencies are being “crushed” today, Friday April 23rd. Liquidations on digital currency platforms have erased $260 billion from total market capitalisation.
Bitcoin is currently down to $49.739, according to CoinDesk. Ethereum with losses of more than 11% lands to $2.200. XRP, the fifth largest cryptocurrency by value, plunges more than 22%. The total decrease in the capitalisation of cryptocurrencies in the last 24 hours is estimated at $261 billion, according to CoinMarketCap.
It is not clear what has triggered the sale of cryptocurrencies in the last 24 hours. But most likely, as analysts comment on CNBC, we have to make a normal correction after a long rally that had pushed prices to unimaginable levels.
Recall that since the beginning of the year Bitcoin has seen its value increase by 71%, while Ethereum has rallied 200%. This increase is attributed to the support that cryptocurrencies have received from institutional investors, but also to the decision of large companies to allow payments with them.
The Dogecoin rally
The most spectacular rally is recorded by Dogecoin. Thanks to Tesla Elon Musk tweets and Doge Day on Twitter, it records profits of 6.000%.
Like all cryptocurrencies, Dogecoin is a digital currency that one can buy and sell as an investment, but also spend it in some cases instead of money. Its code is based on Litecoin, while unlike Bitcoin, which has put 21 million as the maximum amount in circulation, Dogecoin has 129 billion coins in circulation and will continue to build new blocks every year.