WMA: Bitcoin Reverts to $23,000 as Market Undergoes Mild Correction

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This Week’s Summary

  • The crypto market ends the week at a total market capitalization of $1,060 trillion.
  • Bitcoin is down by over 6% after a disappointing week.
  • Ethereum decreased by almost 6% over the past seven days.
  • XRP lost more than 5% in value this week.
  • Almost all altcoins are trading in the red, with a few exceptions.
  • The DeFi sector increased the total value of protocols (TVL) to around $51 billion.

Crypto Trends 20 – 26 February 2023: Market Analysis and Performance

The crypto market had a poor week following a surprising and enriching bull run. Most assets have lost some recent gains as they experienced a mild correction. Meanwhile, the market capitalization dropped by around $60 billion but remained above the $1 trillion mark.

Bitcoin started the week riding high and around the $25,000 level. The more optimistic BTC supporters hoped for a continuous surge all the way to $30k. Unfortunately, the king cryptocurrency went on a slow and slippery slope to welcoming support at $23,000. While some may be disappointed in this devaluing, Bitcoin may not spend too much time in these shallow waters. Currently, BTC is trading at $23,200 and is eager to grow on a 1% boost in the past 24 hours.

Ethereum followed in Bitcoin’s footsteps and dropped by 6% of its value as well. The second crypto in command is now trading at $1,600, but the dreams of reaching $2k remain alive. A resurging interest in trading could soon see ETH back to higher-gaining days.

Altcoins & DeFi

Almost all altcoins are trading in the red, with only a few insignificant exceptions. For example, BNB is down by over 4%, XRP by 5%, and Cardano by 11%. Meanwhile, Polygon decreased by 15%, Dogecoin by 9%, and Solana by 7%. Elsewhere, Polkadot is down by 15%, Shiba Inu by 6%, Litecoin by 7%, TRON by 3%, and Avalanche by 9%.

The Metaverse sector shares the same sentiment as the rest of the crypto market. For instance, Theta Network is down by 3%, Axie Infinity by 11%, and Decentraland by 10%. Meanwhile, ApeCoin decreased by 11%, ICP by almost 25%, and The Sandbox by 9%.

The DeFi sector added almost $4 billion to the total value of locked protocols (TVL), now at nearly $51.32 billion.

Crypto Market Analysis – What’s in the News?

  • Spotify is running a pilot program for NFT-enabled playlists.
  • Sam Bankman-Fried saw his criminal charges increase by 4 more official accusations.
  • Coinbase launched the ETH Layer-2 Network running on the Optimism token.

Next Week’s Crypto Market Forecast

Bitcoin live price
price change

The crypto market contracted this week as most assets lost nearly half of their recent gains. This is a normal movement for a financial market that has struggled for over a year. The recent bull run, or rather sprint, was bound to bring a mild contraction. Hopefully, this downtrend will not last too many days, and the market will recover soon.

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