The market value of cryptocurrencies sank more than 25% in just one week from $2.56 trillion on May 12 to 1.9 trillion this Wednesday, according to ECO calculations based on data from the CoinMarketCap platform.

The drop is not only the result of bitcoin's sharp devaluation. Excluding the effect of the most popular cryptocurrency of all, the market value of the remaining virtual currencies sank by almost 40% in the same period, to a level below one trillion.

These losses in value came in a week that was marked by several pieces of negative news for cryptocurrency enthusiasts: Tesla's retreat from adopting bitcoin as a payment method and China's decision to ban financial and payment institutions from providing services based on virtual currencies.

On May 13, the Tesla boss announced on Twitter that the company was no longer going to accept bitcoin payments for its cars, citing concerns about the environmental footprint of blockchain transactions. Elon Musk also suggested on another occasion that Tesla has already sold the $1.5 billion investment in the cryptocurrency that it announced in February.

The company's decision has precipitated bitcoin's value: the 18.7 million coins in circulation are now worth $35,625.5 each, garnering from a market value of $665 billion, an intra-day drop of 18.93%.

This Wednesday, the Chinese communist regime announced that all financial or payment entities in the country are now banned from providing cryptocurrency services. China is one of the leading cryptocurrency markets and the announcement has put severe pressure on the value of cryptocurrencies.

It is not only cryptocurrencies that are losing value on Wednesday. The day is being penalizing for the majority of risk assets, registering significant falls in stock markets, in the value of bonds and even in the price of raw materials. A sign of cooling euphoria around the risk investments.

Finally, it is also worth looking at the market for NFT, the non-fungible tokens, which gained great popularity this year when an American artist sold a computer image through an NFT for $70 million. And here too there are signs of cooling off.

After on May 9, the NFT sale moved a record over $176 million in the previous seven days, ten days later, this figure is now much lower: $25.1 million, according to the NonFungible platform.