- IOTA crypto price has dropped sharply in the past few days.
- The fear and greed index has dropped after the Binance settlement.
- Shimmer’s daily transactions have risen to about 18.5k.
IOTA price pulled back sharply this week as a sense of fear spread in the crypto industry. The coin dropped to a low of $0.1657, the lowest level since November 9th. It has plunged by more than 16% from the highest point this month and by 37% from the YTD high. This retreat has brought its market cap to over $510 million.
IOTA is not the only cryptocurrency that is plunging. BNB, the Binance token, price has crashed by over 10% from its highest point this week. Other coins like PancakeSwap, Trust Wallet Token (TWT), Gala, Chiliz, and Algorand have all dropped by over 10% in this period.
Bitcoin has also retreated from its highest level this year. It has dropped from the year-to-date high of $38,000 to about $36,200. This is still much higher than the year-to-date low of less than $20,000. The total market cap of all cryptocurrencies has slipped to over $1.38 trillion.
Read more: How to buy IOTA.
IOTA price movement is happening as investors react to the happenings at Binance, the biggest crypto exchange in the world. Binance and Changpeng Zhao pleaded guilty and agreed to pay billions of dollars.
Therefore, IOTA retreated as investors assessed the implication of this settlement to crypto tokens. For one, the company pleaded guilty of offering financial securities without following the law.
Still, the implication could be limited since Binance does not offer its services to the United States. The settlement could see the company restart its Binance US product with a narrow focus on Bitcoin and other proof-of-work tokens.
IOTA price also retreated as investors watched the performance of Shimmer EVM, which it launched a few months ago. Data from its explorer shows that the number of Shimmer EVM blocks have crossed 1 million recently, which is a positive thing.
At the same time, the number of daily transactions in the network has retreated. It is now handling over 18.5k transactions per day, down from over 25k transactions in October. Transactions rose from 16k earlier this month. It has now handled over 1.2 million transactions.
IOTA price forecast
The daily chart shows that the IOTA crypto price bottomed at $0.1362 a few weeks ago. It then bounced back and moved to a high of $0.2040, the highest point since June 26th. The coin has now pulled back and retested the descending trendline, which connects the highest point since February.
Therefore, the outlook for IOTA is neutral for now but a bullish breakout is possible as investors assess the implications of the Binance lawsuit. If this happens, the next level to watch will be at $0.1850.
