Crypto On March 21: Market In Red But Increasing Adoption Of Cryptos Is A Green Signal

The market showed some bearishness at the start of the week but the rising number of countries globally adopting digital assets in some way or the other is acting as a green signal for investors.

The global market cap was down 2.12% at $1.85 trillion as of 1.19 a.m. ET, CoinMarketCap data showed.

Bitcoin slid 2.38% to $40,897. Ethereum, too, dipped 2.64% to $2,846. Wazir X's daily analysis shows a bullish cycle for Ethereum, as nearly 200,000 ETH moved out of exchanges in a single day.

Barring a slight uptick in Terra LUNA, all other top 10 tokens showed a dip. Meme cryptos Shiba Inu and Dogecoin too were down.

However, the crypto sector continues to gain momentum. Australia has become the latest nation pushing crypto laws that may include breach reporting obligations, compliance with anti-money laundering laws and a strategy to classify crypto assets.

This comes soon after the U.S. and the EU announced exploring regulatory frameworks to filter out illicit activities in the crypto space.

Countries are also adopting the crypto culture by launching and developing CBDCs. Qatar has recently joined the list of countries adopting the digital culture as the Arab country plans to launch its CBDC and issue digital bank licenses.

"As some of the most influential nations continue to acknowledge the importance and role of digital assets in today’s financial landscape, such regulatory policies will likely strengthen the industry — preventing illegal activities and injecting greater legitimacy and trust among mainstream and traditional investors, further cementing crypto’s position in finance," Indian exchange CoinDCX told International Business Times.

The crypto market is extremely volatile and experts recommend investors not make decisions based on the sudden shift in prices.