Bitcoin slipped below the $22,000 support line in morning trading in Asia. Ether and other major cryptocurrencies lost ground after US crypto bank Silvergate said it would go into voluntary liquidation.
The bank has long been on the brink of insolvency and became another major victim of the FTX exchange crash last year.
Solana was at an all-time low among the top 10 cryptocurrencies by market capitalization, with total industry capitalization dipping below $1 trillion. US stocks closed mixed on Wednesday, worried about the prospect of higher interest rates this year than experts expected.
Bitcoin is down 2.35% over the past 24 hours to $21,729 at 09:00 a.m. in Hong Kong, taking its losses to 8.07% over the past seven days. However, the biggest mark in market cap is still over 30% for the year, after a strong start to 2023, following last year’s plunge amid bankruptcies and crypto industry tensions.
Ether, the second largest cryptocurrency, was down 1.99% at $1,535, bringing its weekly loss to 7.54%. However, like Bitcoin, it maintains its gains for the year, up 28%.
Solana, XRP, Shiba
Solana led the underperforming cryptos, falling 8.86% to $18.49, posting a one-week loss of 17.49%.
XRP continued its bullish trend despite Silvergate Bank woes in the big market, rising 2.69%. The token has gained 2.50% in a week.
Shiba Inu is back 0.55% in the last 24 hours but still overtakes Litecoin as the 10th largest volatile cryptocurrency by market capitalization. On Wednesday, the value of the meme token saw a short-lived surge in value following the announcement that Shibarium, a Shiba Inu Layer 2 blockchain built for Web3 and gaming platforms, was getting closer to launching its version. beta.
Silvergate Capital has declared closure of its California-based lender, Silvergate Bank, due to mounting losses and an ongoing investigation by regulators. The Bank had been providing services to the crypto industry. Liquidation proceedings have been initiated.
The total capitalization of the crypto market fell 2.26% in the last 24 hours to $995.7 billion. Total trading volume over the past 24 hours fell 0.43% to $44.50 billion.
US stocks traded mixed on Tuesday. The Dow Jones industrial average closed down 0.18%, the S&P 500 rose 0.14% and the Nasdaq Composite Index added 0.42%.
