Ripple’s XRP slipped around 5 per cent, Coins tied to Solana, Polygon and Cardano shed nearly 3 per cent each, the Cosmos token dropped over 3 per cent and Uniswap’s coin was down 2 per cent

The crypto currency market was lower to start the week after bitcoin posted its worst week since May.

Bitcoin was just 0.02 per cent up at $26,136.36, as per Coin Metrics. Last week, it shed 11 per cent because of a steep drop that began Wednesday afternoon. Ether was down 0.18 per cent at $1,674.

Altcoins were making bigger moves to the downside on Monday, however. Ripple’s XRP slipped around 5 per cent. Coins tied to Ethereum competitors Solana, Polygon and Cardano shed nearly 3 per cent each. DeFi tokens also declined. The Cosmos token dropped over 3 per cent and Uniswap’s coin was down 2 per cent.

External pressure in China is likely the biggest driver to the sell-offs, said Chris Martin, head of research at Amberdata. Asia plays an enormous role in crypto, particularly with Hong Kong and Singapore opening the door, but with a broader economic downturn, I do not think we will see the bull market play out like we hoped or anticipated.

As for bitcoin and ether, they tend to act more as a store of value compared to other crypto currencies, but they have also suffered from a considerable decline — 11.5 per cent and 9.8 per cent, respectively, since the last 7 days — so they are totally immune, Martin said. In general, altcoin swings are more notable, and I think as more institutions onboard — through spot exchange-traded funds, spot investments, derivatives — we should see these tokens’ volatility subside a bit more.

Bitcoin had been static for much of Q3, a traditionally weak one for the crypto currency. It is now 14 per cent lower for the quarter and nearly 10 per cent for August. Many anticipated an approved spot bitcoin ETF or some clear crypto legislation out of Congress to usher in some upside volatility. Rather, new focus by the Fed on real rates and bankruptcy protection filing by China’s property giant Evergrande put downward pressure on crypto.