IOTA Falls Hard, Loses Over 25% on Tuesday

Journalist:
Benjamin Vitáris
July 11, 2017

IOTA, a cryptocurrency designed for the Internet of Things (IoT), suffered over 26 percent recently. However, not just IOTA experienced a significant value drop but most of the other cryptocurrencies too, including bitcoin and ETH.

When crypto markets are down, at many occasions, IOTA suffers the most. Currently, the price of the digital currency is at $0.205769, a 26.86 percent drop within 24 hours. From the top 10 cryptocurrencies – ranking by their market capitalizations using Coinmarketcap’s statistics -, IOTA experienced the most significant value decrease. While BitConnect and bitcoin suffered only a drop below 7 percent (6.32 percent and 6.50 percent, respectively), there are only three virtual currencies, which went down more than 20 percent in value. Apart from IOTA, Ripple’s value decreased by 20.97 percent and NEM dropped down to $0.123695 (20.25 percent of decrease).

During the June 15 cryptocurrency bloodbath, IOTA was also the one who suffered the most (36.5 percent decrease) from the top 10 but also from the top 25 currencies. However, this was only a decrease of the cryptocurrencies’ value. At the time, the market cap of bitcoin and Ethereum fell to $37.4 billion and $28.9 billion, respectively.

One hard fall occurred for IOTA on June 26, when the cryptocurrency went down by 20.16 points, which is the second biggest decrease in the top 100 – only Peerplays experienced a larger fall with 42.8 percent, however, the currency only had a $48,444 market cap at the time.

However, at one instance, on July 1, when al the cryptos were down, IOTA came back strong with the currency having the strongest performance on the market with the exception of Gnossis, Agoras and NeosCoin. Except Gnossis, these cryptocurrencies ranked below the top 50 of the list. Despite the value surge, IOTA experienced high volatility during the day.

IOTA utilizes the Tangle ledger designed to settle transactions with no fees, which allows devices to trade exact amounts of resources on-demand. The ledger offers high security by verifying the data stored from sensors.

“As the Internet-of-Things keep expanding, the need for interoperability and sharing of resources become a necessity. IOTA enables companies to explore new business-2-business models by making every technological resource a potential service to be traded on an open market in real time, with no fees,” IOTA writes on its website.

According to IOTA, the main innovation of the company is the Tangle ledger, which is a “revolutionary new blockless distributed ledger which is scalable and lightweight.” By its design, apart from the feature of handling no-fee transactions, the ledger, contrary to the other blockchains, is part of a system “leading to decentralized and self-regulating peer-to-peer network.”

Featured image from Shutterstock.

Last modified (UTC): July 11, 2017 15:43

Benjamin Vitáris

Ben is a crypto journalist and copywriter who has a great passion for blockchain technology. He believes that decentralization empowers people to take charge of their lives, and gives back what we desired for a long time: financial freedom. Follow him on Twitter @BenjaminVitaris or email him directly at dzsuvalance(at)gmail.com. Benjamin is crafting crypto content from his home office in Budapest, Hungary.