ISLAMABAD
The prices of major cryptocurrencies struggled on Friday and the market cap dropped $1.41 trillion with a decrease of 2.6 percent as of 13:25 GMT. The price of Bitcoin (BTC), the largest cryptocurrency, decreased to $33,333 after shedding 1.16 percent. With this decrease in price, the market capitalisation of the BTC has reached $625 billion.
Likewise, ethereum (ETH) price shed 3.33 percent to reach $2,064. With this decrease in price, the market capitalisation of ETH has reached $240 billion.
Similarly, XRP shed 3.56 percent to reach $0.643. The market capitalisation of XRP stands at $64.3 billion after this decrease.
On the other hand, Cardano (ADA) price reached $1.36 with a 1.56 percent increase in its price. Its market capitalisation has reached $43.8 billion with this increase.
However, Dogecoin (Doge) shed 4.55 percent to reach $0.242. With this increase in price, the market capitalisation of Doge reached $31.4 billion.
Meanwhile, crypto hedge fund Nickel Digital Asset Management cycled into a cash position following the crypto market collapse of May. The $200 million crypto hedge fund led by JPMorgan and Goldman Sachs alumni redeployed its capital in anticipation of another explosive price run for cryptocurrencies.
Prior to piling into a cash position, Nickel Digital focused on cryptocurrency arbitrage opportunities resulting from cryptocurrency price differences across the spots and derivatives markets.
Commenting on the fund’s investment thesis, Nickel Digital CEO Anatoly Crachilov said, “We don’t take directional bets, so whether Bitcoin goes up 300% or down 70%, we will seek to capture arbitrage opportunities from market dislocations.”
He further said, “Our market-neutral, low volatility strategy is designed to provide positive returns irrespective of market directionality. It’s meant to make a transition into the crypto market easier for investors with lower risk tolerance.”
Nickel Digital has reportedly earned 29% in gains at 3% volatility, far lower than the 78% market average for crypto assets. However, Bitcoin’s (BTC) blow-off top back in April and the ensuing altcoin capitulation in May has reportedly upended these arbitrage opportunities for hedge funds like Nickel Digital.
