CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 78.1% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
US English

SOL and ADA lead weekly losses as cryptos extend fall

By Mensholong Lepcha

02:25, 4 January 2022

SOL coin illustration
– Photo: Shutterstock

Bitcoin and alt-coins extended losses in early Asia trade on Tuesday with blockchain networks Solana and Cardano losing most over the past week among top 10 cryptocurrencies.

Solana’s SOL and Cardano’s ADA took their weekly losses to about 12% each in early Asia trade on Tuesday to hit $167.97 and $1.30, respectively.

SOL hit a near three-week low of $166.7565 in the last 24 hours. The fifth-biggest cryptocurrency by market capitalisation is about 35% below its all-time high of $259.96 hit in early November, according to CoinGecko.

Bitcoin hovers above $46,000

Bellwether Bitcoin traded 2.2% lower over the last 24-hours at $46,110.38, a day after its 13th birthday. Bitcoin took its weekly losses to 7.5% in early Asia trade on Tuesday.

“Across many on-chain metrics, there is a general lack of activity, despite a modestly bullish undertone in supply dynamics. Coins continue to migrate to increasingly illiquid, and dormant wallets, whilst investor profitability and cyclical metrics paint a more bearish picture. With a balance of both bull and bear signals at hand, our expectations into the start of 2022 are likely continued sideways consolidation,” wrote blockchain research firm Glassnode in its weekly note.

DOGE/USD

0.22 Price
+20.630% 1D Chg, %
Long position overnight fee -0.0753%
Short position overnight fee 0.0069%
Overnight fee time 21:00 (UTC)
Spread 0.0012872

ETH/USD

3,560.60 Price
+1.330% 1D Chg, %
Long position overnight fee -0.0616%
Short position overnight fee 0.0137%
Overnight fee time 21:00 (UTC)
Spread 6.00

XRP/USD

0.63 Price
+1.480% 1D Chg, %
Long position overnight fee -0.0753%
Short position overnight fee 0.0069%
Overnight fee time 21:00 (UTC)
Spread 0.01168

BCH/USD

568.90 Price
+4.710% 1D Chg, %
Long position overnight fee -0.0753%
Short position overnight fee 0.0069%
Overnight fee time 21:00 (UTC)
Spread 2.50

“Until there is further expansion in demand for Bitcoin blockspace, it can be reasonably expected that price action will be somewhat uneventful, and likely sideways at a macro scale,” added Glassnode.

What is your sentiment on ETH/USD?

3560.60
Bullish
or
Bearish
Vote to see Traders sentiment!

ALGO and LINK rise

Number two cryptocurrency Ether inched 1.9% lower to $3,734 in early Asia trade on Tuesday.

Memecoins Shiba Inu and Dogecoin saw weekly losses extend to over 11.5% and over 6.5%, respectively.

Bucking the trend, Algorand’s ALGO and Chainlink’s LINK jumped over 8% each on Tuesday to emerge as the day’s biggest gainers among the top 20 cryptocurrencies.

Read more: Bitcoin price prediction for 2022 and beyond: Will it test new highs?

Markets in this article

ALGO/USD
Algorand / USD
0.2745 USD
0.0005 +0.190%
ALGO/USD
Algorand / USD
0.2745 USD
0.0005 +0.190%
BTC/USD
Bitcoin / USD
70790.30 USD
1883.75 +2.740%
ADA/USD
Cardano / USD
0.65220 USD
-0.00387 -0.590%
ADA/USD
Cardano / USD
0.65220 USD
-0.00387 -0.590%

Rate this article

The difference between trading assets and CFDs
The main difference between CFD trading and trading assets, such as commodities and stocks, is that you don’t own the underlying asset when you trade on a CFD.
You can still benefit if the market moves in your favour, or make a loss if it moves against you. However, with traditional trading you enter a contract to exchange the legal ownership of the individual shares or the commodities for money, and you own this until you sell it again.
CFDs are leveraged products, which means that you only need to deposit a percentage of the full value of the CFD trade in order to open a position. But with traditional trading, you buy the assets for the full amount. In the UK, there is no stamp duty on CFD trading, but there is when you buy stocks, for example.
CFDs attract overnight costs to hold the trades (unless you use 1-1 leverage), which makes them more suited to short-term trading opportunities. Stocks and commodities are more normally bought and held for longer. You might also pay a broker commission or fees when buying and selling assets direct and you’d need somewhere to store them safely.
Capital Com is an execution-only service provider. The material provided in this article is for information purposes only and should not be understood as investment advice. Any opinion that may be provided on this page does not constitute a recommendation by Capital Com or its agents and has not been prepared in accordance with the legal requirements designed to promote investment research independence. While the information in this communication, or on which this communication is based, has been obtained from sources that Capital.com believes to be reliable and accurate, it has not undergone independent verification. No representation or warranty, whether expressed or implied, is made as to the accuracy or completeness of any information obtained from third parties. If you rely on the information on this page, then you do so entirely at your own risk.

Still looking for a broker you can trust?

Join the 580.000+ traders worldwide that chose to trade with Capital.com

1. Create & verify your account 2. Make your first deposit 3. You’re all set. Start trading