Bitcoin Corrects 10%, Metaverse Tokens on the Rise: This Week’s Recap

This week brings both good and bad news, depending on where you look it from. For Metaverse aficionados, the week was quite great, but for the rest of the market – it was downright bleak. So, let’s start with the broader market.

Bitcoin is down over 10% in the past seven days, and there’s no other way of looking at it – it wasn’t pleasant. The cryptocurrency tumbled below $56K for the first time since late October and liquidated millions worth of both long and short positions because of the volatility. The decline started on Monday, and for the first time in a long time, the market sentiment has turned fearful.

Naturally, this had an impact on the entire cryptocurrency field as most of the coins are also charting double-digit declines. Ethereum is down about 10.7%, BNB, SOL, ADA, and XRP are all down about the same 10%. The total market capitalization has declined to $2699 billion in the past seven days – a substantial drop given that it was above $3 trillion at one point.

However, not all is doom and gloom. Metaverse-related and play-to-earn tokens are popping off. At the time of this writing, Decentraland’s MANA is up 25%, while The Sandbox’s SAND is up 60%. ENJ is also up almost 20%, while WAXP is up almost 60%.

Elsewhere, it appears that the season of high valuations keeps on rolling. Gemini – the cryptocurrency exchange founded by the Winklevoss twins – seems to be planning a $400 million raise, and if successful, that would put the company’s total valuation upwards of $7 billion. DCG also raised $600 million in a debt capital raise. In other words – big money continues to flow in the industry, perhaps giving further notion to the claim that the current downturn might be a good buying opportunity.

Market Data

Market Cap: $2,700B | 24H Vol: 181B | BTC Dominance: 40.4%

BTC: $57,783 (-10.9%) | ETH: $4,226 (-10.7%) | BNB: $577 (-9.1%)

This Week’s Crypto Headlines You Better Not Miss

Solana’s Anatoly Yakovenko Talks NFTs, Scalability and Where Solana is Headed in 5 Years (Exclusive). Solana is one of the fastest-growing ecosystems and undoubtedly amongst the hottest topics in the community. CryptoPotato got the chance to interview the President of the Solana Foundation and Co-Founder of Solana Labs, Anatoly Yakovenko.

Mt. Gox Rehabilitation Plan Now Binding: Crypto Proponents Deny Major Bitcoin Price Impact. The rehabilitation plan for Mt.Gox creditors is now final and binding. We reached out to prominent members of the community, and here’s what they think in regards to any potential implications on Bitcoin’s price.

Bitcoin Dumps Below $56K as Cryptocurrency Correction Worsens. It’s been a bloody week in the cryptocurrency market as the majority of the coins are trading well in the red. Bitcoin dumped below $56K for the first time since late in October.

Gemini Eyes $400 Million Funding Round аt Potential $7 Billion Valuation. Gemini, the cryptocurrency exchange founded by the Winklevoss twins, plans to raise $400 million. If successful, that would put the company at a total valuation upwards of $7 billion. Gemini would join the ranks of many other crypto-focused companies that have successfully raised millions in the past couple of months.

Acala Wins Polkadot’s First Parachain Auction With $1.3 Billion Secured. The Acala Network became the very first project to win a parachain slot on Polkadot through their auction mechanism. The project received over 32 million DOT from more than 81,000 community members through the crowd loan campaign.

Jordan Peterson Bought More Bitcoin as a Hedge Against Inflation. Jordan Peterson – a renowned clinical psychologist and a professor of psychology, said that he bought more bitcoins as a means of hedging against inflation. He also debated on the anonymous creator of BTC and whether or not this is of any help to the protocol.

Charts

This week we have a chart analysis of Ethereum, Cardano, Ripple Binance Coin, and Solana – click here for the full price analysis.