Altcoins suffer heavy losses as BTC recedes 8%

On July 5, the majority of altcoins, including PEPE, BRETT, JASMY and FLOKI, fell over 20%, as Bitcoin, the largest crypto asset, dropped 8% in 24 hour trading.

At the time of writing, the Ethereum-based meme coin, PEPE, was down 15% in the last 24 hours, and hands were exchanged at $0.0000082. In the same timeframe, the daily trading volume of crypto assets hovered around $1.29 billion. Meanwhile, its market cap had slumped by 15%, now standing at $3.46 billion.

BRETT, the memecoin which launched four months ago, also dropped 20%, exchanging hands at $0.1143, according to data from CoinMarketCap (CMC). In the same period, the meme coin, inspired by a character from the “Boy’s Club” comic, had a daily trading volume of $71.3 million.

Meanwhile, the crypto asset’s market cap fell to $1.13 billion, bringing it down to the 59th largest cryptocurrency per CMC.

JASMY, the native cryptocurrency that enables all the activities inside the Jasmy ecosystem, is also being affected by the recent Bitcoin price action. At press time, it was down 15% in the last 24 hours, being traded at $0.02083 with a daily trading volume of $177 million. The token’s market cap had fallen to $1 billion.

Solana-based meme coin FLOKI was also seen in the red with a drop of 15%, trading at $0.00013 at the time of publication. Its daily trading volume stood at $309 million, while the token also witnessed a drop in its market cap to $1.25 billion. The crypto asset has fallen to 55th rank among the top 100 leading cryptocurrencies.

The general sharp in all these altcoins follows the decline in the leading cryptocurrency by market cap, Bitcoin, which fell by 8% in the past day to $54,426 on Friday morning. Its 24-hour lows and highs were recorded as $53,717 and $58,591, respectively.

Bitcoin’s decline in price coincided with Mt. Gox transferring 47,229 BTC worth $2.7 billion worth of to an unknown wallet. Additionally, US spot Bitcoin ETFs experienced outflows of $20.45 million, sparking investor concerns.

Bitcoin’s dominance increased by 0.58% from the previous day, reflecting a notable decrease in altcoin market activity.

Ethereum, the largest altcoin, had dropped 11% in the last 24 hours, being traded at $2860 at the time of reporting.

The sharp decline in the altcoin market is often linked to Bitcoin’s performance due to its significant influence and market dominance.

When Bitcoin experiences substantial price drops, it tends to create a ripple effect across the cryptocurrency market, leading to widespread declines in altcoin values as investor confidence wanes and market sentiment turns bearish.