Ever from the first time since May 2017, the price of Ethereum [ETH] has fallen to less than the $85 USD benchmark, deleting all of the gains recorded throughout the market of the last year. Since Yesterday, the crypto market has lost concerning $16 Bln of its valuation after it fell from $123 Bln to $107 Bln.
The price of Bitcoin Cash [BCH] fell to level at $100.01 USD for the primary time in its sixteen month history. Upon the execution of a contentious hard fork in Aug 2017, Bitcoin Cash [BCH] debuted in a very volatile range of $2,000 USD – $4,000 USD.
Reason’s Behind This Market Downfall?
The price of the major cryptocurrency Bitcoin [BTC] seemed to be felling to $3,000 USD, due to the sheer intensity of its sell-off throughout the past month.
Technical analyst named ‘DonAlt’, aforesaid that a drop to $2,900 USD for now seems to be a possibility, if the dominant cryptocurrency fails to sustain any momentum within the high $3,000 USD region. Adding further DonAlt said:
“Closed below support, not trying to be too pretty. Bitcoin [BTC] is expected to reclaim supports quickly otherwise. I expect it to travel for the previous lows. If those don’t hold I’m observing $2,900 USD. There aren’t any supports left on the daily, hope for a fakeout or SFP at the lows,”
Regarding Ethereum [ETH], that went the steepest drop amongst all of the key cryptocurrencies within the market throughout the past 4 to 5 weeks, the analyst said that the asset is presently demonstrating weakness based on practically technical indicator:
“Finally so far enough down to attract my interest once more. Took out the low, right into daily support. A strong daily close these days would open up some swing long prospects. A weak daily close these days and I’d positively stay back.”
When Bitcoin [BTC] and giant market cap digital assets primarily fell in mid-Nov., some analysts together with DonAlt prompted that the low volume of the assets is a serious as without vital sell volume and sell-pressure, the sell-off of crypto-currencies demonstrate a free-fall.
The volume of major crypto assets never regained momentum within the past month and as sell-pressure raised with big holders moving their dormant addresses, the worth of cryptocurrencies began to fall by big margins.
As in Dec., solely Bitcoin [BTC] has been able to avoid a drop larger by 85% from its incomparable high price at $19,500 USD.
Throughout the past 9 years, the digital currency market underwent 5 major corrections with around 85% price drop on an average. For Bitcoin to record an 85% drop from its all times high, its value is expected to fall to $2,900 USD.
What Would Be The Next Stop?
The Market is experiencing serious concerns for now. Bitcoin [BTC] has fallen to a new yearly lower price, it still remains down to around 85% from its all time high price. If digital assets still demonstrate a scarcity of ‘trading activity‘, a correct bottom may take longer to be established in even a ‘cheaper‘ price range.