Yesterday, Bitcoin had one of the worst days. Over the course of the day, the BTC price has fallen by over 50%, thus increasing the decline to over 63% since mid-February this year when the price was above $10,000. This means that the oldest of virtual currencies in just 24 hours dropped by over $4,100, and in a month about $6,650. Is this bubble bursting and the proverbial end of BTC?
The BTC price is the lowest since May 2019.
Just a few weeks ago, many people pointed out that Bitcoin would be a safe haven in times of crisis. Meanwhile, the panic sale we see in the traditional financial markets has also “infected” the cryptocurrency market, as a result of which Bitcoin and popular Altcoins are also seeing noticeable declines.
Considering what has been going on in recent days, it is difficult to admit that Bitcoin was actually supposed to fulfill the function of a Safe Haven asset. Only in the last month has the price of BTC dropped by over $6,650, which is over 63%.
This fact meant that today in the morning you only had to pay $ 3,850 for one bitcoin, while it was still mid-February this year and the price of the top cryptocurrency was around $10,400.
It is worth noting that as a result of the recent depreciation, this market has overcome several important levels of support and was at its lowest level since March 2019. Finally, the depreciation stopped in the vicinity of the technical barrier, where the first demand response has already appeared. If this zone is permanently rejected, we could expect at least a growth correction in the near future, for which around USD 6,550 seems realistic.
On the other side, Peter Brandt, trader, and chart analysts, thinks that looking at the charts bitcoin may reach the $1,000 level. Despite the fact that this seems unrealistic to most crypto enthusiasts.
If I interpret the chart without bias, I would say sub $1,000
— Peter Brandt (@PeterLBrandt) March 12, 2020
At the time of writing Bitcoin price has rebounded above the $5,400 level.
106 billion USD Evaporated from the Crypto Market
Considering that dynamic declines were not limited to Bitcoin quotations, but they also reached the vast majority of Altcoins, within just a day the cryptocurrency market “evaporated” USD 106 billion, which is over 47%. Over the past month, these decreases amounted to as much as USD 190 billion, i.e. over 62%.