Which cryptocurrencies are most affected by fluctuations in the USD rate?

In the world of cryptocurrencies, which specific digital currencies are most susceptible to changes in the value of the US dollar? How does the fluctuation in the USD rate impact these cryptocurrencies and their market performance?

1 answers
- At BYDFi, we have observed that cryptocurrencies with lower market capitalization and trading volumes tend to be more susceptible to USD rate fluctuations. This is because smaller cryptocurrencies often have less liquidity and are more influenced by market sentiment. However, it's important to note that the impact of USD rate fluctuations on cryptocurrencies is not solely determined by their market size. Factors such as the project's fundamentals, technological advancements, and community support also play a significant role. Therefore, it's essential for investors and traders to conduct thorough research and analysis before making any investment decisions in cryptocurrencies affected by USD rate fluctuations.
Mar 19, 2022 · 3 years ago
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