Bloodbath in Cryptocurrency Market Continues, Bitcoin Slips Below $5000

The price of Bitcoin (BTC) dropped sharply earlier today, briefly dipping below US$5,000 per coin, as the brutal sell-off gripping the cryptocurrency market deepened.

Bitcoin is now at its lowest price of around 5,600$ since trading at the similar value back at the end of October 2018 several months before the top crypto touched its record value. It seems the trend turned bearish for almost every cryptocurrency, except for USD Coin, QASH and Dai showing minor increase.

The total market cap of all virtual coins has slightly risen to approximately $182 billion. While most other cryptocurrencies have gone on to form new lows with today's latest drop, the value of XRP has held better than most altcoins, now trading around $0.50. "There's a small chance that it's hard to estimate, that something really bad could happen related to Bitcoin Cash that could then impact the entire crypto market", he'd said.

This is related to increasing enforcement by U.S. and European government authorities, as well as a new "fork" that further splinters the digital currency. The CEO also predicted that the as long as the uncertainty continues, bitcoin price is likely to fall further. While it looks like a buyers' market, investors still need to do their research before buying. But the recent fall will be grist to the mill for those who think that bitcoin and other cryptocurrencies can't be classed as credible investments.

ETH/USD: In line with Bitcoin, Ethereum also plummeted, on way to securing this year's low, following a range of pessimism that emerged in the cryptocurrency industry off late; the day's high was seen at $178.99 and low at $154.00.

The RSI on the 2-hour chart has reached the 10 level, suggesting that the price is facing a solid selling interest below $4,860.

The entire cryptocurrency market is down by 33% in the last 48 hours. Ethereum (ETH) is on an absolute free fall in the last one week losing 30% of its valuation.

Both have been ordered to repay millions of dollars in initial coin offering revenues to investors, as well as pay a civil money penalty of $250,000 (£195,000).

"The sell-off is related to enforcement, which is nearly certainly underway", said Justin Litchfield, chief technology officer at ProChain Capital.

Bitcoin has been in a slump for months, trading sideways for most of the time, with the rare bull run attempts being quickly killed off.

The Bitcoin cash' hard fork happened as a result of the developers and miners of the coin not being able to agree on a direction for the crypto currency, leading to the creation of Bitcoin ABC and Bitcoin SV.

  • Zachary Reyes