The market is upside down: Major decline in Bitcoin and altcoins
Bitcoin saw $58,000 with a sharp decline during the night. Altcoins experienced deeper losses in value. Bloomberg ETF analyst James Seyffart wrote that he likened the price action in Bitcoin in the last six months to the period between mid-2019 and early 2020.
Bitcoin, which rose above $63,000 today, fell to $58,000 with a sharp decline during the night. As always, altcoins followed the decline in Bitcoin.
Fed Chair Jerome Powell's statements on Friday had created an extremely positive atmosphere in the cryptocurrency market. Bitcoin rose to $65,000, while altcoins saw stronger price increases. Now, things have turned around. In the derivatives market, more than 85,000 investors' positions totaling more than $300 million were closed at a loss.
"Bitcoin reminded us of the period in 2019"
The reason for the decline in Bitcoin is not yet known. On the other hand, Bloomberg ETF analyst James Seyffart wrote that Bitcoin has been moving in the range of $50,000 to $70,000 in the last six months, and that this movement reminds us of the period from mid-2019 to early 2020. Bitcoin was moving in the range of $7,000 to $10,000 during that period. Seyffart added, "I know that past movements should not be equated with current conditions."
The total market value of cryptocurrencies decreased from $2.22 trillion to $2.05 trillion. The biggest value losses in the top 100 cryptocurrencies in terms of market value were in WIF, ENS and JUP. These cryptocurrencies lost 12 percent, 10.5 percent and 10 percent, respectively.
