Litecoin, Tezos and Chainlink nosedive as the altcoin season rocket ship loses lift

The cryptocurrency market appears to have been painted with one brush dipped in red color. The majority of cryptocurrencies in the top 100 are buried deep in losses. Bitcoin, the largest digital asset by market capitalization is down 15% in the last seven days. Ethereum has lost over 22% of its value while Ripple is down 18.20% in the same period.

Apart from the fears regarding the Coronavirus, it is not clear what is behind the selloff. Cryptoassets have in less than two week’s erased most of the gains accrued since the beginning of the year. The Coronavirus was declared a pandemic by the World Health Organization (WHO) on Wednesday. The decision comes due to the rising number of infections around the world.

It appears that investors are afraid to ‘buy the dip’ while others are preferring to keep their money in cash in the event the pandemic reaches uncontrollable limits. In this case, crypto enthusiasts should probably brace for more downside action likely to break under the lows in December 2019.

Altcoins lead in the losses

Altcoins have been performing relatively well in the last two months. Ethereum approached $300 but formed a high at $284, Bitcoin Cash shot up to $499 before succumbing to the ongoing downtrend while Ripple closed in on $0.35.

The worst-hit digital assets in the last seven days include Tezos (XTZ) which dived 30.29% to trade at $2.23, Chainlink (LINK) is dancing at $3.20 after losing 32.96% and Litecoin suffered a 26.35% loss and is now exchanging hands at $45.23.