Top cryptos in the financial space appear on a violent move this weekend. However, not all cryptocurrencies move in a similar direction. Let us dig deep.
If you have not checked your cryptocurrency in the past 48 hours, a lot may be waiting for you.
The crypto space is in turbulence at the moment. Most top digital assets hover in bloodbath amid a massive sell-off in the overall market. The turmoil began on late sessions on Friday evening and extended to early morning on Saturday. Nevertheless, the thing appeared to cool by Saturday closing sessions.
Early Sunday morning, Cardano and XRP led the losers in the large-cap digital coins. ADA and XRP witnessed 8.4% and 7.4% within the past day, respectively. However, the situation was somewhat different among the large-cap cryptocurrencies. Solana (SOL) improved most from the latest crash in the crypto atmosphere, down by 1.8% only since the sell-off started. Meanwhile, Terra (LUNA) led with impressive performance within the last day, with a 20.8% 24hr gain.
What for Market Participants?
The lucrative news is that Terra had an impressive performance among the top-cap digital coins, backing its earlier trend. The Terra ecosystem provides critical stable coin groundwork and seems to attract market players as it hedges volatility that has dominated the crypto space.
Solana’s position as a DeFi/’smart’ contract platform, competing with Ethereum, has invited many traders to consider the token. As a result, market players appear to buy SOL’s dip. Meanwhile, Cardano and Ripple have had their token-specific challenges of late. Delisting and regulatory concerns have weighed down on the two cons, translating to headwinds that seem to hinder the recovery by these cryptos today.
Investors can draw two things from the price-performance of these four digital coins. First and foremost, the cryptocurrency industry is an ever-changing and first-moving industry with a unique network, each with its headwinds and catalysts. Market players need to consider various factors before picking any crypto asset. It is a risky business.
Secondly, specific forces will always drive momentum in the cryptocurrency sector. Nevertheless, there is a chance for market-specific catalysts divergence. In such a case, Terra’s upswings overshadowed the crypto turmoil this weekend. Meanwhile, Cardano and Ripple may catch up with the forerunners. However, investors seem selective when picking assets for dip-buying.