Bitcoin Correction Leads to Massive $50 Billion Crypto Wipeout

The price of bitcoin is down 5.32 percent on a 24-hour adjusted timeline, but its correction bias is shaking sentiments across the rest of the cryptocurrency market.

Following the bitcoin’s slippage to the lower $12,000 level, the total cryptocurrency market capitalization wiped off more than $50 billion in a matter of 12 hours. Leading the losses were Bitcoin SV (-14%), Ethereum Classic (-12.88%), Cosmos (-12.44%), and EOS (-12.15%), which brought the net market cap from $388.50 billion to $330.95 billion.

Bitcoin and the Rest of Cryptocurrency Market Shows Wild Downside Swings | Source: CoinStats’ Coin Portfolio Management App

Apart from Bitcoin SV and EOS, top valued assets including Bitcoin Cash, Litecoin, and Binance Coin have also posted double-digit percentage losses in the past 24 hours, according to data provided by CoinStats, one of the best cryptocurrency portfolio management services. At the same time, Ripple’s XRP depreciated by 9.49 percent.

Mainstream assets listed in the top 20 Index, including Stellar’s XLM and Tron’s TRX, also plunged by 11.9 and 9.7 percent respectively.

Bitcoin Maintains Bull Bias; Altcoin Season Coming?

According to investor-analyst Alex Krüger, the bitcoin price drop is not a bug but a feature. He stated the cryptocurrency’s large retracement on Wednesday didn’t deteriorate the market’s overall bullish bias.

“Every single move since bitcoin broke $4200 has seen a large retracement, with the sole exception of the April 2 move. Retracements are useful for trading or for jumping onto the train for those who missed it. Eventually, there will come a retracement that fails. That’s life.”

Krüger said.

BTC’s pullback periods also typically follow a price rally in the altcoin market. Technology entrepreneur John McAfee said on Wednesday that an altcoin season is underway, which would bring ten times more profits than the one delivered by bitcoin in the last three months.

“Bitcoin cranking up, but the real winners, beginning soon, will be the altcoins 10x + the rise in Bitcoin. Top of the heap will be the ones most beaten down in the Bear Market – Docademic, Apollo, XTZ, etc. This is where the real money is to be made. Fill your bags folks.”

said McAfee.

Published by Yashu Gola

Globetrotter Yashu Gola has been working as a financial/crypto market journalist since 2013. He is an information technology graduate, a cryptography junkie, a filmmaking enthusiast, and an avid reader of Jon Erickson, Agatha Christie, JK Rowling, and Isaac Asimov.