A week ago, things looked pretty good. BTC was at $69K, ETH nearing $3500 and Solana testing $190. Many of the more desirable altcoins were staging strong rallies too. Life was nice. And then everything changed when the fire nation attacked. Just 7 days later, global risk markets were in the midst of a meltdown, sending many assets well on their way to hades.
For once, it wasn’t our fault. Much of the last week in markets can be attributed to a few factors completely external to crypto markets.
It’s worth remembering that in times of panic and market turmoil, market correlations rise to 1. It’s a classic case of stairs up, elevator down type of price action — and explains why we generally see indiscriminate de-risking across the board in all risk assets.
So…wtf happened?