With the commencement of 2022, cryptocurrency market is trading in the red with regular value erosions are being witnessed every alternate day. According to CoinGecko, nearly $700 billion have been washed off the markets since the start of this year.
The “crypto-winter” jitters are the sharp drop crypto market capitalisation, currently stands at $1.62 trillion is significantly down from its all-time high record of $3.1 trillion experienced in November last year and from $2.3 trillion at the start of 2022. However, it is a usual phenomenon for the crypto market to witness such drastic, major drawdowns and volatilities.
Reportedly, in April 2013, the price of Bitcoin reached almost $230 from trading for $13 in January. However, after some days, it again experienced a fall to trade just at $68. During 2018, the crypto market declined to $130 billion in December from almost $850 billion in January.
Since the beginning of the year, Bitcoin has dropped 16.5% within seven days while Ethereum suffered a 23% loss and Solana tumbled by 33%.
Notably, these numbers do not pose much danger in comparison to the jitters the crypto market experienced during 2017-2018 which is known as “crypto winters.” Besides, on December 15, 2017, Bitcoin jumped to $19,497, following a major drop to $13,831 six days later.
Bitcoin continued to fall below $7,000 in February 2018, trading at just $6,359 in November 2018, and suffered a significant fall at under $3,300 in December.
In 2014, bitcoin saw a fall in its value of as much as 99.9% in a single day. That year, bitcoin majorly traded on the now-defunct Mt Goxx exchange witnessed a false-crash, where a hack-led bitcoin to be sold for just a penny.