Crypto Market Update: US moves on crypto and miners worry investors

By Raffaele Redi
• Updated

Cryptos were still down today with the US focused on the environmental impact of mining

Bitcoin, Ripple and other crypto currencies on a trading screen with prices and charts. 3D illustration                                 
All the leading cryptos are about to close a week in red, with Ether falling by over 14% in the past seven days – Photo: Shutterstock

The price of lead cryptos continued a downward trend at midday on 28 January.

Investors, fearing a lack of liquidity resulting from the Fed’s proposed tightening measures, now also have the US approach to cryptos to worry about. Cryptos could fall under the framework contained in a recent memorandum on improving cybersecurity from the White House.

Also of concern was a letter sent from US Senator Elizabeth Warren to US crypto miners asking them to release details of their environmental policies and energy consumption by 10 February. With energy prices skyrocketing, miners will be under the watchful eye of the public over their power usage. Warren’s communication explained that US mining power consumption had more than tripled since 2019, playing a role in “driving up electricity costs for American consumers”.

Despite witnessing slightly positive figures pre-market, large miners like Marathon Digital Holdings and Riot Blockchain were all bleeding in the last trading session of the US stock market.

In particular, Riot shares closed at around $13.45 after a 6.1% loss, while Marathon closed the last US trading session lower by 7.8% at $19.79. Greenidge Generation Holdings closed at $10.73 after a 4.5% loss.

Markets and commodities

Elsewhere, Russia-Ukraine tensions continue to weigh heavily on traditional stock markets alongside the latest figures from the German economy. Germany’s gross domestic product (GDP) in Q4 2021 fell by 0.7% from Q3, with the economy slowed by the fourth Covid-19 wave.

The main traditional stock markets were all in red at midday, with the possibility of conflict between Russia-Ukraine affecting commodities prices.

The oil rally, fuelled by supply issues, brought the price of Brent 0.9% higher at $90.15 per barrel, with US WTI higher by 0.7% at $87.25. Gold was $1,788.63 per ounce, around 0.5% lower in the last 24 hours.

Bitcoin low volumes

According to, BTC, the largest cryptocurrency by market capitalisation, is trading 1.2% lower over the past 24 hours at $36,247.09 – and 4.8% lower over the past seven days.

The market cap of BTC was around $687bn, representing around 40% of total crypto market capitalisation, while the leading crypto’s trading volume was around 23.2% lower at $24.9bn in the past 24 hours.

Total crypto market capitalisation fell by around $22bn from $1.659trn to $1.633trn in the past 24 hours.

Binance coin escape sales

In line with major cryptos, ether (ETH) was trading 3.2% lower at $2.372.98, with a market capitalisation of $283.2bn. The cryptocurrency’s trading volume was around 30% lower at $15.5bn in the past 24 hours.

Meanwhile, binance coin (BNB), now the fourth-largest cryptocurrency by market capitalisation after the USD backed stablecoin Tether ($78.1bn), was trading 1.6% higher at $378.50, with a market cap of $62.4bn and a trading volume of $1.8bn – almost 22% lower in the past 24 hours.

Solana (SOL), the main competitior of Ether in powering NFTs and the metaverse, was trading 4.5% lower at $87.75, with a market cap of $27.6bn and a trading volume of $2.3bn, 28% lower in the last 24 hours. Finally, Cardano (ADA) was trading 3.3% lower at $1.02.

Top gainers and losers

Elsewhere, several minor cryptos witnessed an increase of more than 100% in the past 24 hours, including ParaInu (PARAINU) and CrazyMiner (PWR).

On the flip side of the coin, Kuro Shiba (KURO) was trading down by over 100% with its price touching the zero USD level.

All prices are correct as of 13:00 GMT (UTC -1).

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