Monero Price (XMR) tumbled at a double-digit rate today, extending its declining trend for a third day straight after hitting a two-month high earlier in the week. The broader selloff in cryptocurrencies impacted XMR price; the fresh wave of downside volatility in digital currencies was pinged by regulators and the surprise drop in trading volume.
Before the latest crypto market crash, Monero price gained substantial momentum in the last couple of weeks- allowing it to hold the tenth spot based on its market capitalization.
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The recent surprise growth in XMR price had got the support from a looming hard fork – which is expected to take place in mid of this month. MoneroV would be the new form of Monero token; investors who hold Monero will obtain 10 coins of MoneroV against each Monero coin.
The Broader selloff Impacted Monero and Other Coins
Trader’s sentiments turned bearish, particularly due to four reasons: crypto exchanges registration with SEC, a crackdown on Japanese exchanges, declining trading volume and harsh comments from European regulators.
Regulators started taking actions against cryptocurrencies exchanges to evade illegal activities and price manipulation techniques. The U.S. SEC has informed all the domestic cryptocurrency exchanges to get the registration certificate or wait for a crackdown on them.
Similarly, Japanese authorities are now closely watching digital currencies to protect crypto traders from adverse events, such as Coincheck hack – which resulted in the loss of $500 million worth of coins. Lower trading volume is a major factor behind the broader selloff in digital currencies, while the decline of 80% in Google searches indicates the waning popularity of cryptocurrencies.
Cardano (ADA), which is the eighth largest cryptocurrency based on market capitalization, plunged more than 6% today to the lowest level since mid-December. Its market capitalization stands around $5.9 billion, slightly higher from Stellar’s (XLM) capitalization of $5.8 billion. Bitcoin Cash (BCH) traded in the range of $1200 in the last of couple week before falling to $1000 level today.
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