It’s a bloodbath out there with a bunch of cryptos barely staying afloat in a sea of red. Out of the top ten cryptos, Bitcoin Cash (BCH) and Litecoin (LTC) are suffering the most, experiencing major losses.
The crypto market has had a rough start to the week. What began as a few coins being down led to the majority yesterday being down and more joining the dumps as the day went on. Now, all but three coins within the top 100 tokens are down in what looks to be a major crypto selloff.
What’s causing the widespread panic?
The answer might lie with Bitcoin. Bitcoin is still the biggest crypto player out there, with a 39.6% market domination. Bitcoin itself has dropped today by 9.24%. With Bitcoin being as big as it is, crypto investors who notice Bitcoin going down may panic and start to sell off their other crypto assets. This just goes to show how linked together everything in the crypto sphere is, whether we want it to be or not.
Bitcoin Cash (BCH)
Bitcoin Cash is the biggest loser right now out of the top ten cryptocurrencies. BCH is currently selling for $1,299.79, which puts the token down 14.49% in the past 24 hours.
After trading in the $1,500 range for a few hours, Bitcoin Cash starting decreasing fast and is now nearly at it’s lowest point yet in the last 24 hours.
The likely reason behind BCH’s sudden drop off is probably due to the fact that Bitcoin transaction fees have dropped below those of Bitcoin Cash.
One of the major advantages of switching to Bitcoin’s fork BCH is that Bitcoin Cash did have much lower transactions fees. Now that that’s no longer the case, many traders look to be turning to the original crypto.
This low point of Bitcoin transaction fees may tie into why many of the coins are down today. People want to take advantage of the fact that BTC transactions fees are at the lowest they’ve been in six months.
Litecoin is in a similar boat as Bitcoin Cash – and that boat is sinking fast. Litecoin is currently selling for $211.92, putting it down 14.05% in the past 24 hours.
Litecoin’s declines appear to be somewhat stabilizing right now, but who knows how long this selloff is going to last.
With the lower Bitcoin transaction fees, many crypto investors may be selling off their altcoins to purchase Bitcoin while they can get it for a reasonable fee. We, therefore, may have to stand in this sinking ship for a little while longer. Whatever happened to HODLing?
I guess you could say that Bitcoin is an altcoin’s worst crypto-nite.
Featured image: AlexAntropov86