Trending alt coin news: Following Bitcoin’s rejection at $52K, Polkadot is leading the way in altcoin losses.
Despite temporarily breaking above the $52,000 resistance level on Monday, bitcoin failed to maintain its hold above the level and fell below $49,500 during early European trading hours on Tuesday, bringing the entire market lower with it.
On Monday, the leading losers among the world’s top ten cryptocurrencies in terms of market value were Polkadot’s DOT tokens, which lost 8 percent in 24 hours after being the top gainer on Sunday. Other cryptocurrencies, such as solana (SOL), cardano (ADA), and XRP, suffered average losses of 3.4 percent, while binance coins (BNB) saw a 0.4 percent increase in value.
The start of the second batch of parachain auctions on the Polkadot network, which took place last week, served as a stimulus for the increase in the price of DOT. Parachains are separate blockchains that are built on top of the main Polkadot network and operate independently of it. Polkadot, on the other hand, only has a limited number of positions accessible. If a parachain wants to get access, it must first win a community-run auction in which participants use DOT to vote for available slots, resulting in greater demand for the cryptocurrency DOT.
The value of DOT soared to more than $32 on Monday, but traders have since cashed out, and the tokens were selling at $28 during Asian trading hours on Tuesday morning. They are, on the other hand, still 20 percent higher than they were on Tuesday.
Tuesday’s Asian trading hours saw prices fall below the 34-day moving average, which is a technique used to detect market trends by analyzing prior prices. Because DOT has failed to trade above the moving average since reaching a high of $54 in November, the stock’s drop from that high is expected to continue.
Tuesday’s Asian trading hours saw prices fall below the 34-day rolling average, which is a technique used to detect market trends by analyzing prior prices. Because DOT has failed to trade above the moving average since reaching a high of $54 in November, the stock’s drop from that high is expected to continue.
In addition to cryptocurrencies with a substantial market capitalization, tokens of the decentralized payments network Terra (LUNA) and the Ethereum scaling solution Polygon (MATIC) suffered significant losses, with both falling by 7 percent in November 2021.
Tokens of the two cryptocurrencies saw significant gains in the past week as a result of favorable catalysts: decentralized finance (DeFi) activity increased on Terra as crypto investors bet on the network as the next DeFi play, while the launch of top Ethereum-based exchange Uniswap on Polygon saw demand for MATIC rise as a result of the launch of top Ethereum-based exchange Uniswap on Terra.
Beyond the top 20, the tokens of Ethereum’s competing blockchains suffered losses as a result of the downturn. Near (NEAR) and Cosmos (ATOM), which soared last week as traders sought the next ecosystem that may mimic Ethereum’s success, both fell by 8 percent in the previous 24 hours, according to data from CoinGecko. Fantom (FTM), on the other hand, fell by as much as 9 percent in the past 24 hours.