t he cryptocurrency market experienced yet another minor correction earlier today, after an initial decline in value on January 21.Many major cryptocurrencies in the market with the exception of several digital assets fell by around 10 percent in value, with Ripple recording a 10 percent loss and Bitcoin Cash demonstrating a 8.5 percent drop in price.
Bitcoin and Ethereum fell by just over 6 percent, by a margin smaller than the majority of cryptocurrencies in the global market. Because bitcoin and Ethereum have significantly larger market valuations and daily trading volumes in comparison to other cryptocurrencies, bitcoin and Ethereum tend to decline or increase by smaller margins, showing a lower level of volatility.
Ever since the cryptocurrency market experienced a major correction in early January, the market has struggled to recover back to their previous all-time highs (ATHs). Bitcoin, Bitcoin Cash, and Ripple are all down around 50 percent from their ATHs, while Ethereum has somewhat recovered to $1,000.Over the past 12 months, the cryptocurrency market has barely had any major long-lasting corrections. Ethereum and Ripple surged by 130-fold and 330-fold each within one year and during that period, most cryptocurrencies in the market also increased by large margins.For long-term growth, it is positive that the cryptocurrency market has experienced a week-long correction as it would allow the global market to stabilize and solidify, shaking off speculators and weak hands. However, if the daily trading volume of the global cryptocurrency market continues to decrease, in the short-term, the cryptocurrency market could struggle to recover from the recent correction.Over the past seven days, the daily trading volume of the global cryptocurrency market declined from $35 billion to $27 billion, as South Korean cryptocurrency exchanges Upbit and Bithumb overtook Binance and Bittrex to become the largest exchanges in the market.