The cryptocurrency market has lost $300 billion, and Bitcoin transactions are at a three-year low

As the cryptocurrency market continues to lose value since its recent peak, bitcoin transactions are rapidly declining.

The cryptocurrency market has lost $300 billion, and Bitcoin transactions are at a three-year low

The global crypto market lost $200 billion overnight, bringing its total losses for the week to $300 billion. Since Bitcoin's (BTC) recent peak in April, followed by an altcoin peak in early May, momentum has pushed the global market cap down. The previous quarter's gains has been totally erased across the crypto market, following $1.1 trillion losses since then.

The latest drop is also accompanied by a significant drop in the volume of transactions passing through the Bitcoin blockchain. According to data from Bitinfocharts, the number of daily Bitcoin transactions fell to 175,000 on May 30 – a near three-year low that dates back to September 2018.

In January 2021, the number of Bitcoin transactions reached 392,000, and stayed relatively consistent until April 15 — two days after the coin's price peaked. Both have been on the slide since then, with transactions plummeting by more than 50% in May.

Daily transactions for Ether (ETH) fell from 1.6 million on May 11 (the same day the token price peaked) to 1 million on June 6 – a 37.5 percent drop.

Because Bitcoin and Ether are both used in the Lightning Network, and each has its own set of layer-2 protocols, the total number of on-chain transactions doesn't tell the whole story.

Since reaching an all-time high of $76 million on April 14, the cash value of coins trapped in the Lightning Network has plummeted, falling to $47 million at the time of publication.

Also read: On Twitter, Latin legislators wear laser eyes in support of Bitcoin

Market analysts make both positive and worrisome projections for the future direction of the BTC coin price, so whether the general decrease continues is a source of considerable conjecture.

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