Why Cryptocurrencies Like Avalanche, Terra, Polygon, and Algorand Are Crashing Today
Today, volatility has once again reared its ugly head in the crypto world. For investors in top cryptocurrencies such as Avalanche (CRYPTO: AVAX), Terra (CRYPTO: LUNA), Polygon (CRYPTO: MATIC), and Algorand (CRYPTO: ALGO), this has meant plenty of near-term pain.
As of 1 p.m. ET, these top tokens sunk 9.5%, 3.7%, 11%, and 7.5%, respectively, over the past 24 hours. Aside from Terra, which is down 18% over the past week (an outperformer, if one can believe it), the other three tokens on this list have now declined more than 35% over the past seven days.
This past week saw a number of macro and token-specific headwinds materialize for these tokens. From a macro perspective, expectations of rate hikes during the March meeting of the Federal Reserve have driven bond yields higher, reducing appetite for high-risk investments. Crypto has sold off alongside higher-beta stocks and speculative assets. Further regulatory scrutiny of the crypto sector, this time out of Russia, also has crypto investors on edge right now.
Source Fool.com
