Altcoins, NEO, Holochain, Pundi X Undergo Major Corrections as Global Market Plunges

Recent gainers from the altcoin ranks underwent the biggest corrections on Thursday, as $11 billion was wiped off the global market in the space of a few hours.

The flash dip continues to edge slowly downwards at time of writing, with Bitcoin already down  7% in a fallback to the $3,800 range. Ethereum’s fall was twice as severe, as ETH fell 13% back down to the $130 range.

But, as always, it’s the recent winners who get slaughtered the most in a bloodbath, and that held true on Thursday too, as Holochain (HOT), NEO (NEO) and Pundi X (NPXS) all lost close to, or more than, a quarter of their market caps.

Holochain (HOT) Price

Holochain surged to 92% gains in the past two weeks alone. The HOT token value took several leaps forward from December into January, and clocked in 25% growth upon the release of the latest Weiss Cryptocurrency Ratings. That was followed soon afterward by a 31% leap fuelled by mainstream media attention regarding the upcoming token swap to Holo Fuel.

Most of that progress was wiped out Thursday morning, as HOT fell 27% in value, from a price of $0.000762 down to $0.000553. Binance remains the source of most liquidity for HOT trades, and its BTC and ETH markets account for close to 85% of the total daily volume.

NEO Price

NEO momentum built all throughout December and January, as the coin price soared past monthly highs and returned to mid-November levels in the high $9 range.

When the dip struck, NEO was hit for around 16% of its market value, falling from a coin price of $9.77 down to $8.17. Another 10% fall would wipe out gains going all the way back to December 22nd.

Unlike Holo, NEO was primarily traded against USDT, as over 40% of the $187 million daily volume came from Tether markets.

Pundi X (NPXS) Price

How rosy it all looked for Pundi X just a few hours ago. A successful day out at CES 2019 saw Pundi’s blockchain-based XPhone unveiled and covered by mainstream publications. Meanwhile the firm’s XPOS point-of-sale device was recently demonstrated in Norway – the first instant crypto POS sale in the nation.

All of that resulted in a 23% price hike for the coin. But as of Thursday, most of that was gone, as the coin price fell from $0.000563 down to $0.000435 – a 22% loss in less than twenty-four hours.

Global Pump and Dump?

If we look at the global charts from the past two weeks, it appears as though the entire market may have been subject to a pump and dump.

After the Christmas surge, the normal move would have been for a correction, however, on December 28th, a sudden influx of $10 billion entered the market in a two hour period. Just enough to get everyone excited for a New Year bull run.

Disclaimer: The author owns bitcoin, Ethereum and other cryptocurrencies. He holds investment positions in the coins, but does not engage in short-term or day-trading.

Featured image courtesy of Shutterstock.

Greg Thomson is a freelance writer who contributes to leading cryptocurrency and blockchain publications like CCN, Hacked, and others.