After a fantastic performance in the first quarter of 2021 and reaching an all-time high in May, the value of the global crypto market dipped significantly in the last month two months.
According to recent data, the combined value of all crypto coins plunged by 48% since May reaching $1.32trn last week. However, this figure still represents a 76% increase year-to-date.
Bitcoin’s Market Cap Up by 13% YTD, Ethereum Soared by 190% Despite Crypto Price Crash
The year 2020 was a fantastic year for crypto investors, with the combined value of all digital coins circulating in the crypto space surging by 300% YoY to $758bn. This was even above the market cap reached in 2017, considered as the break-out year for Bitcoin and other digital coins.
However, 2021 witnessed even more impressive growth, with many of the major crypto coins reaching their all-time highs. The CoinMarketCap data show the global crypto market cap soared by 130% in the first three months of 2021 jumping to over $1.8trn. Two months later it hit an all-time high, with the combined value of all crypto coins soaring to $2.5trn on May 12.
However, two weeks later, this figure almost halved to around $1.3trn. The unexpected pullback in Bitcoin and other cryptocurrencies came as a flurry of negative headlines and catalysts, from Tesla CEO Elon Musk to a new round of regulations by the Chinese government, causing a massive hit for the entire sector.
Statistics show that Bitcoin’s market cap dropped by 44% since May reaching $617bn last week. However, this still represents a 13% increase since the beginning of the year.
The market cap of Ethereum, as the world`s second-largest cryptocurrency, soared by 190% YTD, despite the recent crypto price crash. In January, the combined value of all Ethereum coins amounted to $84.7bn. After reaching an all-time high of $497bn in May, this figure dropped to $245bn last week.
Tether Witnessed the Biggest Growth Among the Top Three Cryptocurrencies
However, the CoinMarketCap data show Tether witnessed the most significant market cap growth among the top three cryptocurrencies. In January, the market cap of the world’s most used stable coin amounted to $21bn. By the end of March, this figure jumped to $40bn and continued rising. Last week, it stood at $62.2bn, a massive 196% increase YTD.
Besides impressive market cap growth, Tether also ranked as the most traded coin in the crypto space. Statistics show the world’s most widely used cryptocurrency, hit $2.3trn in monthly trading volume, almost double than Bitcoin and 2.5 times more than Ethereum.
