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This Week’s Summary

• The cryptocurrency market looks set to end the week at a total market capitalization of $2,12 trillion.
• Bitcoin moved down by only 1% to trade at around $60,300.
• Ethereum decreased by almost 9% to trade at around $2,600.
• XRP moved up by 6%, Solana by 5%, and Toncoin by 4%.
• Almost all altcoins have been seen trading in the green, with some exceptions.
• The DeFi sector decreased the total value of protocols (TVL) to around $84 billion.

Cryptocurrency Trends for the Week of Aug. 5-11, 2024: Market Analysis and Performance

Over the past week, the cryptocurrency market has experienced one of the most breathtaking roller-coaster rides in years. It was accompanied by almost all the big financial markets as the global economic system nosedived spectacularly. It all started on Monday morning, with the stock markets in Asia opening, and a bloodbath quickly engulfed the European and American markets on the same day.

Most cryptocurrencies followed suit and bled heavily, with some reaching all-time lows. Everything in the crypto market spelled out fear, uncertainty, and doubt for a few days. Then, unexpectedly, the market recovered, bringing most of its assets back on the floating line.

Some cryptocurrencies have still been struggling. But, overall, the market could consider itself lucky to have escaped one of the biggest financial crashes in recent years. Meanwhile, the market capitalization dropped by only $30 billion to remain comfortably above the $2 trillion mark.

Bitcoin was the first cryptocurrency to succumb under the weight of the crash on Monday. And, considering its high value, it was the sorest sight to see that day. In fact, BTC dropped by almost $20,000 in less than 48 hours. Its lowest point was around $49,500 amid large liquidations across the board.

Fortunately, the king of cryptocurrencies was also the one to signal the market’s recovery. Notably, Bitcoin recovered steadily, starting Thursday to get back above $60,000 by Sunday. This was an impressive feat for BTC, which lost only 1% during one of the blackest financial weeks in the past two years.

Ethereum failed to follow Bitcoin in its recovery, however. The second crypto in command lost precious gains, reaching $2,200 at one point. It hasn’t recovered much since then, and it has boasted a 9% drop in value over the past seven days.

Altcoins & DeFi

Most altcoins have been seen trading in the green, with some notable exceptions. XRP moved up by 6%, Solana by 5%, Toncoin by 4%, TRON by 1%, BNB by 1%, and UNUS by 2%.

Meanwhile, some of the assets have been seen in the red. For example, Cardano moved down by 2%, like Avalanche and Polkadot. Also, Chainlink moved down by 7% and Litecoin by 5%. Memecoins have not been faring as well as other altcoins. Dogecoin decreased by 1%, Shiba Inu by 1%, and Pepecoin by 3%.

The Metaverse sector also witnessed some notable movements over the past week. For instance, Axie Infinity moved down by 4%, The Sandbox by 1%, and ICP by 6%. However, Stacks rose by 3%, Render by 1%, and MultiversX by 2%.

The DeFi sector lost almost $4 billion from the total value of locked protocols (TVL), which is now $84.65 billion.

What’s in the News?

• Brazil’s Securities and Exchange Commission approved the first-ever Solana ETF in the country.
• A New York judge approved a $12.7 billion settlement for FTX and Alameda to repay its creditors.

Next Week’s Crypto Market Forecast

The cryptocurrency market appeared to be back in business after a major scare. The “Black Monday,” some called the most recent financial crash, scared many investors off the market. However, it also created the proper conditions for smaller and often more hesitant investors to onboard it. This way, the market regained its balance in less than a week. Still, the sentiment has remained negative, but it should change within the next few days.

About the Author

Born and raised in Romania, and currently living in Spain, Iulian discovered a knack for writing from a tender age and won some minor awards for fiction that didn't pay much.

Iulian became a content writer in 2011, and he's still doing it to some degree of success today. He is currently specialized in cryptocurrencies, technology, online marketing, and social media. In his free time, Iulian likes reading, traveling, and watching sports. His dream is to see Bitcoin reach $100,000, just so he can tell his friends “I told you so!”

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