Yesterday, the Bitcoin continued its massive descent, after having its $11,000 support broken. The sell-off accelerated during the day, as all indices in the NYSE and NASDAQ moved lower on the news of the yield curve inversion, sparking global recession fears.
Bitcoin dropped close to $800 (8%) and continue descending and currently trading below $9,700. Another casualty was Ripple, who suffered a flash crash that lowered its price by 20% in minutes, although later it retraced about 50% of that movement. Litecoin and Ethereum also experienced 10% drops in 15-min candles.
The crypto sector market cap descended to $257.422 billion, a drop of 8.69%, and the Bitcoin dominance is currently 68.2%.
The current heat map shows the extent of this debacle:
What is happening?
XRP massive drops may have been due to a renewed lawsuit. The new filing states that investors were misled by Ripple¡’s assertion that XRP was a security. According to Yahoo Finance, this is a year-old case, and it does not still hold the class-action status.
Indian Supreme Court hears the case on Reserve Bank of India’s cryptocurrency ban. The case might influence the future plans of India’s government to punish cryptocurrency trading severely.
Follow the news in the below twitter thread. Also, this article by beincrypto.com deals with this important news piece.
Case is listed in Court no
4 as item no. 1 today.
Court about to be resumed in few minutes.
After the Court starts, few minutes will go in dealing with "urgent mentioning" matters.
— Crypto Kanoon (@cryptokanoon) August 14, 2019
Elizabeth Stark, a cofounder of Lighting labs, has denied rumours that she called on the SEC to investigate Bitcoin Cash after a twitter user claimed she did it. More on this article by beincrypto.com.
Bitfinex launches a new decentralised exchange: DiversiFi. This high-speed decentralised exchange will allow users to execute orders directly from their private wallets. Source: cryptoslate.com
Bitcoin continues sliding today. After a heavy drop from $11,000 in two days, this is its third day of bearish sentiment. The MACD turned bearish yesterday, and the bullish trendline (blue) has been crossed. Therefore, more drops can be expected. The first target will be $9,000 and then $8,200 the bottom of its descending channel.
Ripple continue descending after its flash-crash movement that happened yesterday. The price is very much moved by the news of a lawsuit against the company for misleading investors.
Ethereum crossed its bullish trendline yesterday in a clear bearish candle. Today the price is still descending. This means the bullish leg that began in December 2018 is compromised at least. Currently, the price is at the $180 support. The next support level is $152. Short-term ETH is oversold, but the overall picture is bearish.
Litecoin retraced 100% of its last bullish movement. On July 14 it has violated its ascending trendline and yesterday it broke down that June’s low. Currently, the Stochastics show oversold levels, so we expect a consolidation above its $60 support. The overall look is bearish until the descending trendline is not broken by an upward movement.