Get 40% Off
🤯 This Tech Portfolio is up 29% YTD! Join Now to Get April’s Top PicksGet The Picks – Just 99 USD

If You Held $1,000 In Bitcoin, Ethereum, And Dogecoin On New Year's Day, Here's How Much You Would've Lost This Year

Published 14/06/2022, 21:11
Updated 14/06/2022, 21:43
© Reuters If You Held $1,000 In Bitcoin, Ethereum, And Dogecoin On New Year's Day, Here's How Much You Would've Lost This Year

© Reuters If You Held $1,000 In Bitcoin, Ethereum, And Dogecoin On New Year's Day, Here's How Much You Would've Lost This Year

The cryptocurrency markets have been in a sharp downtrend over the last week. The market cap of the crypto sector currently sits at $977 billion, which is approximately one-third of its all-time high. Consequently, retail investors globally have suffered major losses, as most cryptocurrencies are trading 70% below their all-time highs.

Here’s a look into how much you would have lost year-to-date if you held $1,000 in Bitcoin (CRYPTO: BTC), Ethereum (CRYPTO: ETH) and Dogecoin (CRYPTO: DOGE):

Bitcoin: On Jan. 1, 2022, Bitcoin was trading at $47,686 and is trading at $22,499. Therefore, with a return rate of negative 52.81%, $1,000 invested at the start of the year would be worth $471.81.

Ethereum: On Jan. 1, 2022, Ethereum was trading at $3,769 and it now is trading at $1,230. Thus, with a return rate of negative 67.36%, $1,000 invested at the outset of the year would currently be worth $326.30.

Dogecoin: On Jan. 1, 2022, Dogecoin was trading at $0.1730 and presently is trading at $0.056. With a return rate of negative 67.63%, $1,000 invested at the beginning of the year would be worth $323.60.

The Crypto Landscape: The latest crypto crash can be attributed to a multitude of factors. Increased inflation fears and the halting of cryptocurrency lending firms, such as Celsius, occurring within a month of the infamous crash of Terra (CRYPTO: LUNA), serve as the immediate catalysts for such sharp price action.

In the macro scheme of things, there are fears of an impending recession, after the latest CPI data indicated inflation rates being at an all-time high of 8.6%, causing investors globally to behave in a risk-averse manner.

Benzinga's Take: It is good to remember that crashes are natural for the cryptocurrency market. $1,000 invested in Bitcoin exactly two years ago, on June 14, 2020, would be worth $2,334.

Furthermore, $1,000 invested in Ethereum on the same date would be worth $6,216.

Dogecoin over the same span of time grew from $1,000 to $23,584. Therefore, over a horizon of multiple years, the cryptocurrency markets have rewarded patient investors.

© 2022 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

Read the original article on Benzinga

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.