Altcoins
Altcoins BRETT, PEPE, WIF, JUP Drop 10% as Bitcoin Drops 4%
On July 8, most altcoins were in the red, including BRETT, PEPE, WIF, and JUP, which dropped more than 10%, while Bitcoin, the world’s largest cryptocurrency, dropped 4% in the previous day.
At the time of writing, BRETT, the meme coin inspired by a character from the comic book “Boy’s Club,” was still down 8% over the past 24 hours and 30% over the past 7 days. Over the past day, the cryptocurrency’s trading volume has hovered around $49.1 million. Additionally, the meme coin’s market cap has also dropped to $1.12 billion, making it the 62nd largest cryptocurrency by CoinMarketCap (CMC).
BRETT 24-hour price chart | Source: CoinMarketCap
Ethereum-based meme coin PEPE was the biggest loser on Monday morning, dropping 12% from the previous day. Over the past week, the meme coin has also dropped a significant 30%. At press time, the meme coin inspired by the popular green frog meme had a daily trading volume of $768 million, while its market cap had dropped to $3.47 billion and it now ranks 24th among the top 100 largest cryptocurrencies.
PEPE 24-hour price chart | Source: CoinMarketCap
Meanwhile, Solana-based meme coin WIF was still down 11% over the past day, trading at $1.66 at the time of publication. Over the past week, the token has also plunged below 27%. Meanwhile, the meme coin featuring a dog wearing a pink knitted hat has seen a 14% increase in its daily trading volume, hovering around $468 million. Its market cap has fallen to $1.6 billion.
WIF Price Chart 24 hours | Source: CoinMarketCap
Jupiter (JUP), a Solana-based decentralized exchange (DEX) aggregator, has fallen 10% over the past 24 hours and 16% over the past week. The cryptocurrency’s daily trading volume remained unchanged at $109 million, while its market cap fell below $1 billion.
The sharp decline in these altcoins was triggered by a decline in the value of Bitcoin, which fell 4% over the past day to $55,676 on Monday morning. Its 24-hour lows and highs were recorded at $54,424 and $57,863, respectively. The cryptocurrency had fallen 12% over the past 7 days.
The drop in the price of Bitcoin coincided with the German government transfers 700 BTCvalued at around $40.47 million, to cryptocurrency exchanges. This move is part of an ongoing trend, as the German government has been steadily selling off its Bitcoin holdings since June.
According to Lookonchain, a blockchain data analytics platform, the German government recently transferred 700 BTC to exchanges, sparking mixed reactions on Twitter, with some predicting a potential drop into the $40,000 region.
To increase market volatility, Mt. Gox transferred 47,229 BTC worth $2.7 billion to an unknown wallet, further influencing the drop in Bitcoin price.
Mt. Gox, once the leading cryptocurrency exchange before its collapse in 2014, is ready to repay its creditors. This has raised concerns that the influx of Bitcoin into the market could further depress prices as creditors may decide to immediately sell their recovered funds.
As of July 5, the German government holds 41,226 BTC worth $2.28 billion, while the United States government holds 213,297 BTC worth $11.72 billion. Additionally, Mt. Gox controls 141,687 BTC worth $7.78 billion.
The overall decline of the altcoin market is closely tied to the performance of Bitcoin, due to its significant influence and dominance in the market. When Bitcoin experiences substantial price drops, it often creates a ripple effect in the cryptocurrency market, leading to widespread declines in altcoin values as investor confidence declines and market sentiment turns bearish.
Despite the current downturn in altcoins and the cryptocurrency market as a whole, some analysts remain optimistic that the altcoin season could begin soon.