Editor's Note: This article comes fromCointelegraph Chinese (ID: CointelegraphChina), Author: Horus Hughes, reproduced by Odaily with authorization.
Cointelegraph Chinese (ID: CointelegraphChina)
Cointelegraph Chinese (ID: CointelegraphChina)
Crypto Market Crash Continues as Bitcoin Price Drops Below $5,000
The market trend of the day means that Bitcoin’s 2020 gains have been completely wiped out. The current Bitcoin asset has fallen by 58.07% from its 2020 high of $10,500. This price was still a living reality less than a month ago.Coin360
Data from Coin360 also showed that Bitcoin's market value shrank by $48.3 billion in just one day, from $137.8 billion to $89.5 billion, the biggest drop since 2013.
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Crypto market daily price chart. source:
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Futures markets also continued to fall, with Dow and S&P 500 futures each down 1% at the time of writing. Gold futures also fell 0.87%, while silver futures fell 1.56%. Investor confidence in stocks and risk assets continued to decline amid growing economic uncertainty caused by the global coronavirus pandemic.
As Cointelegraph reported earlier, the Federal Reserve announced today that it plans to inject up to $1.5 trillion into the market, hoping to prevent a further market crash, but the first $500 billion injection did not do much to stem the decline in the stock market. A historic 10% loss closed the day.TradingView
A number of mainstream media reported that nearly 50% of the states in the United States declared a state of emergency, resulting in large-scale school closures and the suspension of all professional sports events, exacerbating the chaos of the day. Depending on the state of the futures markets, stocks and cryptocurrencies could see further losses at the open on Friday.
What is the next price of Bitcoin?
BTC USD daily chart. source:
At the time of publication, prices had bounced back a little over 9% to trade at $4,800, but the daily chart shows that traders are still unsure where the market is headed.Coin360
The lack of strong buy orders and the heavily oversold stochastic relative strength index and growing negative momentum of the moving average convergence divergence suggest that traders are not yet ready to buy the bottom at any point.
Bitcoin broke through the $5,500 and $5,200 support levels to drop to $4,679, and if the correction continues, the last point of defense is $4,030. Below this level, Bitcoin will retest the two-year lows in the $3,000 range.
