Crypto Markets Tank Follows Silvergate Report Fallout
Crypto markets are currently crashing with billions of dollars leaving the sector in the last hour or so.
Total market capitalization has shrunk by more than $60 billion in the last hour. As a result, the number has fallen to $1.06 trillion at the time of writing, according to CoinGecko.
The reason for the large Friday dump is currently unclear. However, there has been a lot of negative news regarding the crypto bank Silvergate this week.
Bloomberg also alluded to the Silvergate fallout in its reporting on crypto markets today.
The American crypto bank raised questions about whether it can remain in business on March 2. In addition, shares plunged to record lows as key partners severed ties with Silvergate.
Crypto markets have now returned to mid-February lows, which acted as support at today’s levels. However, they remain within the range-bound channel that has consolidated over $1 trillion over the past six weeks.
Bitcoin, Ethereum Tanking
Bitcoin has lost 5.2% in the last hour, dumping around $1,200. It has settled at $22,250 at press time, and there is further support at $21,500.
Crypto critic “Mr Whale” blamed a whale for selling and causing the decline.
BTC prices are currently back at mid-February levels, but a 5% move is nothing new for the asset.
Ethereum has dumped a similar percentage in a fall to $1,567 during the Asian trading session on Friday morning. The latest news for the network was that the Shanghai upgrade had been delayed until mid-April.
The ETH chart has mirrored BTC, so it is also back to mid-February where the support levels lie.
Hemorrhaging crypto markets
The entire crypto market is a sea of red at the moment, with altcoins taking a bigger hit as usual. Larger losses of more than 6% have been seen on Cardano (ADA), Dogecoin (DOGE), Solana (SOL), Polkadot (DOT) and Shiba Inu (SHIB).
Others, such as Litecoin (LTC), Avalanche (AVAX), Uniswap (UNI) and Chainlink (LINK), were hit with losses greater than 8%.
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Disclaimer
BeInCrypto has reached out to the company or person involved in the story for an official statement on the latest development, but has yet to hear back.
