Bitcoin dipped to a low of $5,600 on BitMEX for a matter of minutes, while most cryptocurrencies note double-digit losses. The whole market is plummeting, as it recorded a loss of over $50 billion in only a few hours.
Bitcoin Goes Below $6,000
It’s safe to say that the largest cryptocurrency has seen better days. Bitcoin’s price just noted a severe plunge. Earlier today, BTC was knocking on the door of $8,000, but in a few violent red candles, it tumbled to $5,600 on the popular margin trading exchange, BitMEX. To put things into perspective, this represents a 30% drop in a few trading hours.
Even though it has since retraced slightly to the current level of $6,200, the situation seems quite bearish. As Cryptopotato reported today, the largest digital asset broke down the critical support line from 2015.
To make the situation even worse, Bitcoin’s rapid descend smashed the support levels of $7,000, and the 2020 low of $6,800.
Thus continues the recent bearish trend. In a matter of weeks, BTC went from above $10,000 and a general belief that the market is bullish, to below $6,000 and “extreme fear.”
The only silver lining for Bitcoin at the moment is that the crash amongst the alternative coins is more severe. Thus, its dominance over the market grew to above 65%, as it was fading since the start of the year.
Altcoins Bleed Out As Well
The second-largest cryptocurrency by market cap is down by more than 30% since yesterday. ETH is trading below $140 at the time of this writing.
In fact, most of the top 10 coins by market capitalization have similar decreasing percentages of around 30 as Ethereum. As a result, Bitcoin Cash dropped to $173, Bitcoin SV to $123, EOS is slightly above $2, Litecoin is at $35, and BNB – $10.5.
Tezos and Chainlink are among the worst-performing assets in the past 24 hours. Both are plunging with over 32% to $1.57 and $2.40, respectively.
In the middle of February 2020, the total market capitalization went above $300B, and at the time of this writing, is approximately $171B. This represents a significant descend of over 40% in less than a month.