Crypto Markets Plunge $6 Billion as Bitcoin Heads South
The Bitcoin bears have returned in force today as crypto markets plunge to new low levels for 2019. A few hours ago Bitcoin fell out of its consolidation zone after failing to overcome heavy resistance at $3,600.
The plunge sent BTC to a new yearly low level of $3,463 according to Coinmarketcap.com. It has not been this low since December 17 when BTC rallied from its 2018 low level of just below $3,200. Most price predictions and analysis have been suggesting further losses for Bitcoin which has not been able to overcome key resistance levels.
If the current rout continues Bitcoin could be back below $3,400 by the end of the day and on its way back to $3,200 as the week unfurls. Failing to hold this support level will send BTC down to $3k and possibly below it to form a new bottom.
This will drag all of the other cryptocurrencies down with it as we have seen so many times over the past couple of years. Ethereum usually suffers heavier losses and today has been no exception as ETH dumps 7% taking it back to $108. A delayed Constantinople hard fork as resulted in Ethereum crashing 33% this year alone. Dropping below $100 again looks highly likely for a very weakened Ethereum.
Most of the crypto assets are bleeding out at the moment with double figure losses for Bitcoin Cash, Bitcoin SV, Stellar Lumens, Iota, and Bitcoin Gold. The order of the top ten has changed so often over the past couple of weeks as market capitalization crumbles it has been hard to keep up.
Yesterday Tron made it as high as seventh, surpassing both Litecoin and Stellar. EOS flipped Bitcoin Cash to reach fourth, and XRP has held on to second as its losses are not as bad as Ethereum’s. The only cryptocurrency moving up the chart at the moment is Tether as its static market cap of $2 billion has pushed USDT up to fifth place while those around it fall back.
Markets have been drifting in a channel at around $120 billion for over a week now with very little activity. The $6 billion dump has seen market cap plummet to $113.6 billion during trading today. This is the lowest level it has been this year. Last year it dropped to $100 billion on December 15 and if the bearish pressure continues and Bitcoin does fall back close to $3,000 a new low level for crypto markets is imminent.