The global cryptocurrency crypto market cap dipped below $800 billion in one of the most sluggish manners. The last three days saw the market valuation gradually drop with no strong increase in trading volume.
A look at the chart showed that during this period, we noticed a straight declining line. Nonetheless, with the year coming to an end, we may expect the gradual decrease in worth to continue as most traders are off the market.
2022 presented a rollercoaster experience for most traders as they never anticipated the level of drama it brought. So many things went wrong. The image below shows a pictorial illustration of what transpired during the period under consideration.
So many bearish events shook the market and led to a massive decline in the sector’s value. It opened the year at $2.25 trillion but was worth $798 billion at the time of writing. This is a clear indication that the industry is down by almost 65%.
Huge Losses in the Crypto Market
This also translates to the fact that most cryptocurrencies lost more than 60% of their value. The image below sheds more light on that. We noticed that most of the assets are painted red (Indicating losses) or gray (not decided).
A look at the figure above shows that top coins like Bitcoin and Ethereum lost more than 60%. Aside from these assets, so many altcoin lost significant amounts of their values during the period under consideration.
Most of these cryptocurrencies are down by more than 50% and some, higher. Let’s take a look at the top losers over the last 362 days.
Solana (SOL)
Solana was one of the brightest coins in 2021. It threatened most assets in the top 10 and was dubbed “Ethereum Killer.” After a bullish close last week, it made the watchlist of most investors.
It continued to pique interest as it made so many news rounds over the last 362 days. Mostly bullish, it hard several improvements to its community and ecosystem. One such change took place in March when it partnered with PUBG to create blockchain games.
Another major announcement happened in August when the Solana testnet withstood 13,000 TPS. It also became the most “decentralized” as it surpassed 3,400 validators. SOL also peaked the interest of top personalities like SBF and Polygon co-Founder.
All these stories had very little impact on the asset in the long term as it may close 2022 with its biggest losses yet. Currently, down by more than 90%, the bearish impact on the altcoin can not be overemphasized.
A look at the monthly chart sheds more light on what transpired. The asset under consideration opened the year on a bearish note as it lost more than 40% in January. Further examination of the charts showed that it enjoyed two consecutive greens.
The largest surge of 2022 took place in July. SOL surged by more than 25% and closed the month with these gains. Of the twelve months of the year, only three came out with significant gains. February was represented by a doji.
November was the most bearish as the coin lost more than 50%. Currently down by more than 33%, there is no hope in sight of a late recovery.
Cardano (ADA)
We also see the same sentiment on Cardano. Many concluded it lost it juice and was no longer relevant. It stopped making waves a few months into the year and is one of the top losers. Nonetheless, it also had a few updates.
One such was a milestone in its transaction. It crossed $45 million on the monthly scale. Cardano also secured $100 million for its Defi platform. The project also sold out more than 80% of its NFT collection.
With regards to prices, it is no surprise the extent at which it dipped. One outlook during the first quarter stated that the asset may retest key support or historical ones it hasn’t in a while. True to this prediction, it flipped several vital levels.
One such was the $0.42 support. It held on to it for three months but lost it in October due to intense downtrends. The massive decreases also affected the yearly performance as the coin is down by more than 80%.
A look at the monthly charts better describes what transpired. Like most cryptocurrencies, it had a bad start to the period under consideration. It lost 19% in January. The downtrend continued until March.
This was ADA’s most bullish month as it gained more than 18%. It was also one of the two green months it had. The resumed the next month and lasted till July when the coin had it second green.
It closed with gains of more than 12%. April marked the most bearish month for the altcoin as it closed with losses of more than 33%. These massive decreases also affected it position in the top 10s and currently sits at the edge.
Polkadot (DOT)
With regards to fundamentals, there are very few. Nonetheless, only a few weeks after the apex stablecoin launched on the Near blockchain it made further expansion. On the Polkadot (DOT) blockchain, stablecoin issuer Tether launched its flagship stablecoin USDT.
The next biggest story on the asset was that its co-founder quit as the CEO. The effect of these announcements had both good and effect on the coin. However, it continued to struggle like most cryptocurrencies.
The part that concerns most traders is the price. Unfortunately, it is on the list of losers for more reasons than one. The first is the massive drops it had over the last eleven months. It is down by more than 80% on the yearly scale.
Price action during the first month of the year sent shivers down the spine of many. After peaking at $31, it dipped to a low of $15. It found support but failed to erase the losses and closed with losses of 27%.
The $15 support broke in February but it rebounded and closed a little below its opening price. The first green of the year took place the next month as DOT gained more than 12%. A look at the chart shows that only three of the last eleven months came out positive.
Polkadot had its biggest surge in July. In response to the bullish sentiment of the market, it surged by more than 22%. The last bullish push was in October when it gained almost 5%. On the bearish side, we noticed a lot of movements.
DOT had its biggest drop of the year. It opened at $21 but surged to a high of $23 and dipped below $15. It ended the 30-day period with losses exceeding 32%. November was also one period many would love to forget. Additionally, we noticed the coin slipped down the market ranks.
Avalanche (AVAX)
With regards to fundamentals, Avalanche was mostly silent. Nonetheless, there was a mix between both the bullish and bearish news. One such was plans to raise more funds for the project when it gets to a valuation of $5 billion.
Little wonder if it did. There were also reports of losses. It lost $60 million in terra’s luna crash. Most recently, it lost almost $200k to hackers. Aside from these stories, there were none worth noting.
A look at the price chart showed that, unlike fundamentals, AVAX had a lot of volatility. It kicked off the year with one of its biggest losses. It closed January with losses of more than 36%. The effect of this dip was minimal as February brought comfort.
It had its first green as the bulls tried reclaiming lost levels. They recorded a measure of success as the coin gained more than 20%. Hopes of returning back above the first month’s open continued into the next 30-day period.
March ended with an increase of 15%. These massive surges came to an end as AVAX lost 41% in April. It had its biggest dump of the year during the next month. It closed with losses of more than 50%.
One of the strongest support over the last 362 days was $16. The altcoin held on to this level for over three months before losing it. Since losing it, all efforts at reclaiming it failed.
In summary, avalanche had only four bullish months of the last eleven. The current month is not looking any better as it is down by more than 17%. Currently holding on to the $10 support, it may close the year at this value.
2022 marked the third year since the asset became a tradeable asset. Due to all the drops it had, it is down by more than 90%. It also slipped down the market cap rank and is struggling to stay in the top 30s.
