Cardano, Ontology and VeChain Suffer 40-50% Drops as Bloodbath Continues
In just over two weeks the altcoin bloodbath has wiped between 40-50% from the values of several major cryptocurrencies.
Since the crypto market peaked on June 26th, over $100 billion has exited the overall global market cap. At the same time, recent gainers such as Cardano (ADA), Ontology (ONT) and VeChain (VET) have lost between 40% and 50% of their values in a swift bleed-out.
VeChain (VET) Down 46%
The losses incurred by VeChain seem particularly enlightening in regards to the legitimacy of the recent crypto pump. If any coin would be expected to stay afloat amid a small market dip, it would be the one that just signed a major deal with Walmart.
Yet after gaining over 25% in one day on the Walmart news back in June, VeChain is actually one of the worst performers in the eighteen or so days since.
From a peak of $0.010624, the value of the VET token dropped to $0.005702 by time of writing. That’s a 46% decrease in less than three weeks.
Cardano (ADA) Down 43%
Cardano (ADA) had a good previous quarter, as the ADA coin price almost doubled within the past three months. The launch of Cardano’s first staking testnet was big news for investors and non-investors alike – all of whom were eager to see the fruits of Cardano’s long awaited, apparently rigorous, scientific approach.
The news helped Cardano gained almost 25% in the days leading up to June 26th’s peak, but very little of those gains could be sustained. Since then, the value of ADA fell from $0.106910 down to $0.060580 – a 43% drop.
Cardano’s value dropped even further than it had fallen when one of our resident technical analysts recommended it for bottom picking just over a day ago. Read: Trade Recommendation: Cardano (ADA).
Ontology (ONT) Down 50%
Ontology had legs for some serious growth since the turn of the year. That was evidenced by the coin price almost doubling during the previous quarter, and more than trebling since February.
Ontology’s start to 2019 was so promising that it briefly overtook its former parent chain, NEO (NEO), in the market cap rankings. Fast forward a few months, and now NEO is ranked 17th by market capitalization, while Ontology has fallen back down to 26th.
Besides the opportunity for bottom-picking, the fall of these three altcoins could perhaps also be an opportunity for some foresight. Three of the better performers of the year have failed to hold on to any of their much hyped growth. Can we expect a similar fate for the likes of Chainlink (LINK), which has already dropped 38% in the past eighteen days?
If Bitcoin had dropped 50% in the same time period, the knives would be out. Without picking on any of the three cryptocurrencies mentioned, is this a sign that altcoin holding is for the short term only?
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. Charts via CoinMarketCap.