Mumbai, May 13: Amid the ongoing war between Russia and Ukraine and the increase in COVID-19 cases across the globe, the value of Cryptocurrencies seems to have taken a hit. The trend started on Thursday after cryptocurrency Bitcoin was down by 12 percent and stood at $27,300.
In the latest addition to the ‘Cryptocurrency Crash’, crypto exchange Coinbase suffered a major outage amid crypto mayhem especially with the cryptocurrency Terra Luna. The sudden fall of cryptocurrency has created panic among investors. Cryptocurrency Crash: Global Crypto Market Sheds $275 Billion, Bitcoin Down at 2020 Level of USD 27,000.
Here are all the latest updates from the crypto market.
Coinbase suffers outage amid cryptocurrency fall
On Friday, crypto exchange Coinbase suffered a major outage amid crypto mayhem especially with the cryptocurrency Terra Luna, thus leading to fear among the investors. The company said that it was actively working on the issue. On the other hand, Terraform Labs increased the circulating supply of Luna tokens to over 6.5 trillion, up from 386 million three days ago. Later, Terraform Labs said that it has halted the Terra blockchain and is working to “come up with a plan to reconstitute it”.
Free fall of the Global crypto market
On Thursday, over $275 billion were wiped off the global crypto market within 24 hours. The global cryptocurrency market cap reached the $1.25 trillion mark, thus going down by 13 percent in the last 24 hours. According to a report in IANS, the global crypto mayhem was triggered by the total collapse of Terra Luna cryptocurrency that was linked to the US dollar. Cryptocurrency Crash: Coinbase Suffers Major Outage, Binance Halts Terra Luna Trading.
Bitcoin investors to lose $545 million this year
According to a report, bitcoin investors are likely to lose up to $545 million this year, owing to various reasons like forgetting passwords to their wallets or making a mistake in recording their “seed phrases”. As per a research conducted by CryptoAssetRecovery.com, between $272 million to $545 million of Bitcoin will be lost this year. After bitcoin stood at $27,300 on Thursday, it further dropped to nearly $27,000 on Friday, a level it saw in December 2020. Interestingly, Bitcoin accounts for about a third of the cryptocurrency market.
Ethereum loses 20% of its value in 24 hours
After Bitcoin, Ethereum joined the cryptocurrency crash when its value fell by 20 percent on Thursday. It must be noted that Ethereum is the world’s second-largest cryptocurrency. While Bitcoin has shed a third of its value since January, Ethereum has lost more than half of its value this year.
Investors of Terra Luna cryptocurrency lose life savings
Terra Luna cryptocurrency, which is ranked among the top 10 most valuable cryptocurrencies collapsed by 98 percent, thereby wreaking havoc in the lives of its investors. Terra Luna’s market cap dropped from above $40 billion to just $500 million on Thursday. It must be noted that Terra was once ranked among the top 10 most valuable cryptocurrencies. “I lost all my life savings. Had bought Luna at $85, not sure what to do,” wrote a Terra investor on the Reddit community forum.
(The above story first appeared on Morning Tidings on May 13, 2022 12:24 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website morningtidings.com).
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