The price of the largest cryptocurrency, Bitcoin, has dropped by more than 2% and fell from $7,400 to $6,950, going way below its this month-high and pushing tokens and other major cryptocurrencies to record losses.
However, Bitcoin was not the only cryptocurrency to record losses. Ethereum has sunk even more, recording a 10% loss, just like Ripple (XRP), Bitcoin Cash (BCH) and EOS (EOS), all falling from 10% to 12%.
Currently, it seems like the top 7 cryptocurrencies are all in the red – which is a sign for a new bearish market and a massive correction. If Bitcoin manages to rebound to $7,200 or $7,300, the bearish market may be over soon. However, if the largest cryptocurrency by market cap falls below the support level – just like it did when it first sunk to $6,950 today – a drop to the low $6,000 is definitely expected on the horizon.
According to one crypto trader and technical analyst named Edward Morra, a correction is coming. As he explained:
“Bitcoin is coiling tighter and tighter, making everyone wonder what to expect, but I feel like a correction is incoming (if not a reversal). However, we also need to understand that shorting here is being in the vanguard, as there are no clear confirmation of a trend change as of yet.”
There are two outcomes possible for Bitcoin right now in September – to either break above $7,500 or to stay below the $7,000 mark and come close to the $6,000 region in the upcoming days.
As Bitcoin falls, the prices of many small market cap cryptocurrencies and tokens may also bleed out further, deleting their short-term gains and confirming that the ‘bears are awake’ in the new bearish market.
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