In less than 24 hours, Bitcoin (BTC) has dropped by 5% from a high of $11,950 to trade at $10,115 at the time of writing. The bulls had taken over the market since July when the world’s largest crypto has been on an uptrend. But today’s price is the lowest since the end of July 28. Earlier in the week, BTC had tested the crucial $12,000 resistance but failed and seems to be headed for the $9,500 support.
The CEO of BitBull Capital, Joe DiPasquale, believes that the crash is technical. He commented,
“The current move is technical in nature and comes after prices tested the $11K support around eight times in the last 30 days.”
He added,
“As highlighted in our previous comments, there is strong support in the zone between $10K and $10.5K, and prices are yet to test that zone. We don’t think we will see any major declines that will break this support zone in the short term, and Bitcoin is likely to consolidate between $10.5K and $11K before attempting to cross $11.5K again,”
Impact on other coins and the dollar
As usual, the crash in Bitcoin’s price is also felt in the prices of other altcoins as most of them are in the red zone. The second-largest cryptocurrency by market cap, Ethereum (ETH), has also dropped to $380 after hitting a two year high of $486. Most other altcoins have dropped remarkably in the latest crash.
The latest crypto blood bath seems to correlate with a drop in the US Dollar against other major fiat currencies. Danial Kiva, the CEO of Invest Diva, believes that the weakening USD could be the one pushing
