In the middle of last month the crypto market cap peaked at more than $2.5 Trillion. The massive increase in the market cap of crypto happened on the back of the bitcoin’s price increase. Amongst the $2.5 Trillion more than half of it was due to bitcoin’s massive market cap which crossed $1 trillion.
However as of now the market is at almost 75% of its highs, with bitcoin’s market cap also halved in a month. Other cryptos such as Ethereum also suffered almost a 50% decline. Overall the whole crypto market did not fare well in the past month.
Another factor to the astronomical market cap last month was the rise of meme coins. Meme coins such as DogeCoin, Shiba Inu SafeMoon were all the rage. They gained billions of dollars in market cap last month. Contributing heavily to the overall crypto market cap.
Elon Musk and His Involvement
Elon Musk, the CEO of Tesla and SpaceX has come across as a force in the crypto world recently. Tesla under his leadership became one of the companies to hold bitcoin. He was also very instrumental in the rise of meme coins especially DogeCoin. While other meme coins also came into existence based on his tweets.
Elon sent the price of bitcoin to the stars with his tweets, which was a very good thing for the crypto community. However, many enthusiasts pointed out that this is not healthy for the ecosystem. Their predictions came true when in May Elon Musk’s single tweet whipped almost $1 trillion from the crypto market cap.
His tweet in which he criticized bitcoin’s energy usage caused the price of bitcoin to fall more than 50% in just two days. While DogeCoin and other coins also suffered immensely. This even proved to Elon Fans that his involvement had its downside as well. However, his involvement has been mostly great for bitcoin, and cryptos and it is expected that the segment will keep on growing.
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