Baystreet Staff
Professional traders who threw in the towel and sold their cryptocurrency holdings over the last week lost a combined $431.51 million U.S., according to data from Coinglass.
The total market capitalization of the global cryptocurrency sector fell below $1 trillion U.S. last week as prices for Bitcoin (BTC), Ethereum (ETH), and other digital assets sold off sharply.
The continued price declines prompted 130,087 professional traders to liquidate their holdings of digital coins and tokens, booking a combined loss of nearly half a billion dollars in the process.
Long traders had huge losses that were 10 times greater than the losses of traders with short interests in cryptocurrencies.
The current market downturn is due to a combination of factors, notably inflation and the likelihood that interest rates will continue to rise in the coming months.
A majority of economists in America now expect the U.S. Federal Reserve to further raise interest rates by 75-basis points when it next makes a policy decision.
The price of Bitcoin is down 60% this year at $18,800.00 U.S. Ethereum’s price has declined 65% year-to-date to $1,320.00 U.S.
