Bitcoin's price has dropped by more than $1,000 in no more than an hour. Its price is at the moment hovering above $8,500, and the cryptocurrency has dropped by upwards of 13% in the last 24 hours. As of penning this, the current daily low was captured at $7,998 on Bitstamp. This was the lowest price of Bitcoin ever since June 11 of this year.
Altcoins are also bleeding, as some including EOS are down 30% against the USD. All of this comes only a day after one of the most awaited event of the past year– the launch of the Bakkt Bitcoin futures trading platform.
Bitcoin Down $1,500 in Less Than an Hour
Bitcoin's price has nose-dived, falling by upwards of $1,500 in less than an hour. The decline represents around 14 percent of its price at the time of this writing, but the concern is whether the pain will stop.
Currently, Bitcoin is trading slightly above $8,450, as over $600 million worth of BTC has been sold off on the well-known margin trading exchange BitMEX.
As can be observed on the chart above, the move was swift and without notice and it triggered Bitcoin’s market cap to drop to about $180 billion. In good news however, Bitcoin’s dominance rate is holding strong, and actually recorded a slight increase to 68.9%.
Altcoins Bleed Even More
In another interesting observation is the fact that altcoins are bleeding way heavier than Bitcoin. Pretty much all altcoins lost significant value and failed to capitalize on the BTC drop.
The whole crypto market is currently bleeding red, and in even worse news for some, several altcoins are in a world of hurt against the USD.
However the drop isn't just against the USD, as most of the large-cap altcoins' Bitcoin markets are having a bad time as well. EOS, for example, is down about 17% against BTC, Bitcoin Cash is down 15%, Bitcoin SV is down 24%, and BNB is down about 4%. Some of the biggest signs of the pressure on the market is the fact that Tether (USDT), the preferred stablecoin, has come to be the 4th biggest cryptocurrency in with regards to market capitalization.
Even though it's challenging to figure out the exact reason for this drop, it's safe to say that Bakkt's underwhelming volume in its first two days of trading might be part of it. It will be quite interesting to see whether the selling is through or if there is more pain to follow.
But also with that being said…is it just a coincidence? BTC has rate dropped a ridiculous amount – could it just be a temporary case of “miner sour grapes” after Bakkt failed to “pump bitcoin?”
Or could it also be the alleged mass power shutdowns/failures in Canada and Kyrgyzstan that have since almost returned to full power?
May it be for any or all of these reasons, who knows in Crypto?!
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