Summary:
- Bitcoin has tumbled 20% so far this week dragging down other altcoins
- The whole crypto capitalisation has shrunk by $30 billion
- A new ETF fund with exposure to Bitcoin probably won’t be launched this year
Cryptocurrencies have been hit hard this week. Bitcoin was among top losers plunging over Wednesday and Thursday almost 20% toward $7750 (the lowest level since June 2019). Other cryptocurrencies also saw their valuation melting. What was the cause behind such a brutal decline?
Start investing today or test a free demo
Create account Try a demo Download mobile app Download mobile appAmong possible ones we present the following:
- A sharp decline of blockchain computing power on Monday (ca. 40%)
- Margin calls in the BitMex exchange
- A disappointment regarding the launch of futures by the Bakkt International Exchange
- A delay of a SEC decision regarding crypto regulations
Ethereum
Ethereum dived along with Bitcoin and this plunge was halted at around $165. Since then the price has been moving nowhere. It’s worth noting that some major technical levels might be found at either $178 or $220. While the price breaks through the mentioned support then it could even move toward $130. Source: xStation5
Ripple
A technical point of view suggests that Ripple must not already be out of the woods as the price crashed the crucial demand zone. On the other hand, when other altcoins see a bounce, then a bullish pullback could take place here too. If so, this move could take the price up to $0.262. Source: xStation5
The total crypto market cap has dwindled by roughly $30 billion thus far this week. Source: Coinmarketcup.com
Crypto news:
- A Bitcoin ETF will probably not be launched this year, such a report was brought by James Seyffart, a Bloomberg Intelligence analyst
- Peter Wuffli, a former general director in UBS, wants to use the crypto market to tokenize assets like shares, properties, commodities and pieces of art
This content has been created by XTB S.A. This service is provided by XTB S.A., with its registered office in Warsaw, at Prosta 67, 00-838 Warsaw, Poland, entered in the register of entrepreneurs of the National Court Register (Krajowy Rejestr Sądowy) conducted by District Court for the Capital City of Warsaw, XII Commercial Division of the National Court Register under KRS number 0000217580, REGON number 015803782 and Tax Identification Number (NIP) 527-24-43-955, with the fully paid up share capital in the amount of PLN 5.869.181,75. XTB S.A. conducts brokerage activities on the basis of the license granted by Polish Securities and Exchange Commission on 8th November 2005 No. DDM-M-4021-57-1/2005 and is supervised by Polish Supervision Authority.
