Bitcoin and all others were flat after Friday’s sales downturn, but Wall Street investors were rocked by a sudden share sell-off.
- Cryptocurrencies traded sideways after a flurry of trading activity on Saturday.
- M&A activity in cryptocurrencies increased last year and is expected to continue.
- Wall Street expects a flash sale to fall on Friday.
Another weekend, another interesting tour for investors. While many waited for the return of the record numbers for Bitcoin and the cryptocurrency market in general that happened on the weekends, it never happened.
Global market capitalization had consistently topped $ 1.8 trillion in the run-up to Saturday. But markets have been lower, hitting weekly lows of $ 1.5 trillion. Things have picked up a bit in early trading on Monday, with prices hovering in the $ 1.7 to $ 1.8 trillion range.
On Saturday Bitcoin behaved as expected. After $ 6 billion worth of futures contracts expired on Friday, making a small compression, the price of Bitcoin went from its low of $ 51,000 to $ 56,000 as those short-sellers were forced to buy Bitcoin. to avoid further losses.
Cryptocurrencies remain expectant
At the time of this writing, Bitcoin was down a fraction of its performance in 24 hours, losing 1.5% as the effects of the buying spree wear off.
In mid-caps — $ 10 to $ 40 billion worth of projects — losses were lower. Cardano, Polkadot, Ripple, and Uniswap lost less than one percent, while the token Theta and Litecoin saw strong gains of 6.9 and 4.2% respectively.
While prices are the bread and butter on Market Watch, we are always on the lookout for the broader signals in and around the crypto industry. One piece of information that piqued our interest was mergers and acquisitions activity.
According to Bloomberg, M&A activity in the cryptocurrency hit all-time highs last year and is expected to continue this year.
There has also been a flurry of activity around cryptocurrencies. In March alone, startup NFT OpenSea raised $ 23 million, crypto bank Avanti $ 37 million, Fireblocks $ 133 million, and of course BlockFi’s Series D fundraiser of $ 350 million.
All of these bullish signals point to an increasingly robust ecosystem as money comes in to support businesses that add utility to cryptocurrency.
Markets on Razor’s Edge Following $ 30 Billion in Shares Fall Friday
While cryptocurrency was, dare we say, a bit predictable over the weekend, American equity investors spent Saturday and Sunday wondering what the hell happened late on Friday.
More than $ 30 billion in stock disappeared in a sudden sale allegedly sparked by billionaire Bill Hwang’s office. The sell-offs sent prices for Viacom and Discovery plummeting 27%.
Billions of market value in other companies were wiped out as sales continued, surprising market participants who called the size and speed of these stock sales unprecedented.
Archegos, the name of Hwang’s family office, appears to be suffering heavy losses, prompting the sudden liquidation. This has left investors waiting for the opening of the US markets today.
Operations in Asia, Chinese tech stocks fell significantly as they were caught up in the Hwang sell-off. Japanese giant Nomura also collapsed as part of Archegos’ departure.
As a result, volatility is expected in the markets this week, with futures contracts down in the United States at the time of writing.