The entire cryptocurrency has dropped to $253 billion. This ultimately means that it has dropped by well over $100 billion over the last week alone. The price of a lot of different cryptocurrencies have also taken a hit, and this includes Ripple, Ethereum and Bitcoin Cash. This has come down by over 13% and the slump is probably going to continue.
Over the last 24 hours, the price for Bitcoin alone has fallen from $7,900 to $6,600 and this is a 12.6% decline in value. Ripple, Ethereum and more have all dropped by more than 12% as well, and the market has lost well over $40 billion in the space of two days alone. When you look at Bitcoin and the market for cryptocurrency, you will see that these levels have not been reached since February when the price of Bitcoin dipped all the way down to $6,000. It then spiked to $12,000 but it is said that areas that had substantial premiums certainly took note of this.
It’s true to say that Bitcoin has shown some level of resistance when it did drop to the $6,600 mark and it has also gone on to demonstrate very small signs of recovery. When you look at the volumes of a lot of different exchanges, and this includes Bitflyer, Bitfinex and Binance, you’ll see that their value remains relatively low as well. That being said, the volume on any future markets are certainly going up.
A lot of analysts, including Fundstrat’s Tommy Lee believes that Bitcoin is still going to end the year at $20,000 and this is especially the case if the market next goes on to make a mid-term recovery. Bill Barhydt from Abra has said that the demand for cryptocurrency is non-existent from institutional investors. This also applies to retail traders across the west, but in Asia, this is not the case at all. There is zero institutional money from the west, and this is happening in Japan. When money from the west comes in however, there is going to be a huge surge, and this could be enough to change things around.
When you look at the volumes, or the lack of them, it is safe to say that the market could continue falling over the next couple of days. If it does fail to sustain its values, then the price of the market could also take a further hit.
So, what happens now? Barhydt has said that the hedge funds and even the institutional investors are actively looking into the market and everything that it has to offer. They are also looking at different ways to explore the market. He has stated that hedge funds may even provide a window of opportunity for those who are looking into the market for the very first time.