Tesla effect fades away as Bitcoin and crypto markets change

Markets were well informed yesterday when they learned that Tesla does not only accept Bitcoin as a form of payment, it will hold money rather than cash it. While the markets have continued to decline since the weekend, the news today seems to be a thing of the past. After falling prices, global market capitalization fell 4.8% to $ 1.6 trillion. The rise in trading volume yesterday – 26% increase – was probably an indicator traders took to avoid further losses. Global market value below the slide. IMAGE: CoinMarketCap Bitcoin dropped 4.8% and remained at almost $ 53,000 when it hit a two-week low. The currency suffered its biggest losses since December. Ethereum also fell about 7% as its price dropped to the $ 1,500 range. It was a gloomy picture up to the market cap, with only HEX reporting the overnight gains. The losses were moderately significant: Ripple lost 10%, Polkadot 13% and Uniswap 13%. Even Theta Token, which entered the top 10 cryptocurrencies, could not resist the market routine and fell 20% overnight. Theta Token Raised 17,000% in One Year, Crushed Top 10 Tokens The slowdown coincided with Fed Chairman Jerome Powell's testimony before the Senate Banking Committee. All eyes are on the rise in bond yield data, which scares the markets: the increase in bond yields is an indicator of rising inflation and perhaps interest rates that could hinder the dollar's recovery. COVID. Powell added that the rate hike is more optimism in recovery rather than fear of overheating, doubling the idea that the Fed will not interfere. Bitcoin and S&P 500 correlation. IMAGE: Decrypt Bitcoin, Nasdaq reacted to the news in the same way. The technology focused market fell 2% and the entire market reported losses from the sessions. Reason? Traders are getting money from the more speculative parts of the market, called growth stock technology. Read more

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