ASKER, Norway – Small-scale cryptocurrencies such as Ethos and Ontology met a decline in value, along with high-scale cryptocurrencies such as Ethereum and Bitcoin. The cryptocurrency market was unable to bounce back to its $350 billion since March 25, Sunday.
Bitcoin and Ethereum struggled to have any significant gains. Fortunately, the loss that it incurred was pretty minor. CCN reported that from a value of $8,580, Bitcoin stooped to $8,490. Despite the slight decline of Bitcoin, it still has a trading value of $4.5 billion, which is three times higher than that of Ethereum.
Unfortunately, Ethereum failed to sustain a decent trading value. Tether, on the other hand, was able to garner the second spot in being the most liquid cryptocurrency in the market to date with a $1.4 billion daily trading volume.
Cryptocurrency enthusiasts would find Tether an exciting subject since most people utilize it to keep track of market volatility.
The world’s largest cryptocurrency exchange, Binance, offers cryptocurrency-to-Tether pairing services so that people can hedge cryptocurrencies when extreme volatility starts occurring in the market. Suppose that there is an intensely high daily trading in volume, this would be an indicator that there is instability in the cryptocurrency market. In line with that, there will also be an increase in the number of users hedging cryptocurrency value in an attempt to reserve fiat currencies.
Binance chief executive officer, Changpeng Zhao, recently stated that volumes have returned to most cryptocurrency exchanges. However, compared to the $11,700 price line during March, Bitcoin and Ethereum’s daily trading volume is pretty low as of this time.
The Hong Kong and South Korean cryptocurrency market premiums are just as an interesting metric as Tether. South Korea is currently trading Bitcoin at $8,723, which is 3.2 percent higher than the United States. Meanwhile, Bitcoin in Hong Kong remains to be sold at $9,000 as was indicated by Gatecoin, which is a cryptocurrency brokerage that focuses on Bitcoin-to-cryptocurrency trades of Hong Kong investors.
Despite the small decline which affected all cryptocurrencies, it is evident that small-scale cryptocurrencies are in a better line than Bitcoin and Ethereum. However, it is still too early to decide whether the alternative cryptocurrency is at its peak. The only thing cryptocurrency experts are sure of right now is the outperformance of startup cryptocurrencies over Bitcoin. An example would be Ontology and Ethos which surpassed Bitcoin by 20 percent these past few days.