The cryptocurrency markets took broke further bearish as Bitcoin slid below $10,000. The total market capitalization of cryptocurrencies lost close to $7 billion.
Bitcoin plunged on Wednesday to test support near $10,100. However, the selling continued a bounce above $10,100 was seemingly improbable. The price of Bitcoin at 4: 30 hours UTC on 22nd August 2019 is $9979, after testing lows near $9750 earlier.
Hence, there is a lot of uncertainty in the market. The trading volume in Bitcoin has decreased considerably over the past few days. Moreover, analysts are suggesting a big break soon.
B.Biddles, crypto-trader, suggested negative market sentiments. He said that “Big vol. is in selling” and “breakouts have been quickly cannibalized and turned into breakdowns.” Hence, the Bitcoin bag holder is a bear in the short term.
BTC/USD 1-Day Chart on Bitstamp (TradingView)
Moreover, Sawcruhteez, crypto-analyst and trader, noted that he “Will be expecting a big move to follow once this structure breaks.” The structure formed is a triangle which is testing its bearish limits for now. However, a break to the upside is also possible.
BTC/USD 4-Hour Chart on Bitstamp (TradingView)
Altcoin Vs. Bitcoin
The altcoins also took equivalent losses to Bitcoin as its dominance stayed around 69%. Willy Woo, crypto-analyst, has suggested from his statistical analysis of Bitcoin and altcoin momentum, that altcoin “may be heading into a region of support.”
The altcoin trader sentiments are more vulnerable than Bitcoin as their perceived value is losing importance. Willy Woo noted,
All alts are valued on people parking money in them.