The ethereum price increased by six percent on Tuesday, surpassing the $1,200 barrier and raising its market share to nearly 16 percent. Meanwhile, other top cryptocurrencies saw their markets turn sour after a data point adjustment at market statistics was done by CoinMarketCap which induced an artificial correction.
The cryptocurrency market cap began the day above $750 billion, which appeared to be a moderate decline from its previous day level. But it actually reflected the fact that CoinMarketCap had decided to stop factoring prices from South Korean exchanges into their pricing algorithm. The reason is that these exchanges often trade far above their global averages.
The website did a poor job of communicating this, leading most visitors to incorrectly believe that cryptocurrency prices were plunging across the board, particularly those — like ripple — that see heavy trading volume on Bithumb and other South Korean exchanges. This seeming market correction appears to have induced a real one. Traders panic-sold their assets and the cryptocurrency market cap briefly plunged to $668.7 billion. Ultimately, cryptocurrencies experienced a moderate recovery, bringing the cryptocurrency market cap to a present value of $740.8 billion.
Bitcoin price dropped below another checkpoint and altcoins suffer from the CMC fueled decline, with ripple falling to $2.37, bitcoin cash to $2,400 and cardano to $0.85. But ethereum price swam against the current for the second consecutive day, posting a five percent advance even as bitcoin and other top cryptocurrencies fell into decline. At present, the ethereum price is $1,186 on Bitfinex, while its global average (now excluding Korea) is $1,217. Ethereum also managed to be back in the second place by market cap, over passing ripple’s by $26 billion.