Bitcoin manages to bounce back above $20,000 as ETH goes above $1000 after both suffered seven-day losses of up to 36% so let’s read more today in our latest altcoin news today.
After a weekend of losses, crypto’s top two coins made slight recoveries on Sunday and Bitcoin managed to bounce back above $20,000. BTC recovered by 15% in the past day and ETH which crashed to $898 recovered over 25% in the past day to $1130 at the time of writing.
The price fluctuations marked a temporary reprieve from the downward trajectories over the past week. We saw BTC drop below $26,000 for the first time in a year marking a negative milestone that triggered a huge selloff. BTC dropped below $20,000 and then to $19,000 in oen day. ETH dropped alongside BTC as well and hit $898, marking a drop of over 46% in a week. By crashing below $20,000 and $1000 for ETH yesterday, the coins created market conditions that experts said could trigger a wave of forced liqudations and in such a scenario, the large-scale investors in both cryptocurrencies are forced to close positions on BTC and ETH derivative products with prices being low to generate enough collateral.
Such events would push the prices of BTC and ETH further down and can trigger more liqudations in a cascade effect. By recovering to levels above $20,000 and $1000, BTC and ETH halted a snowballing selloff that some analysts said it could send BTC as low as $13,800. the severity of the bear market remains unclear. The latest crypto crash started early last month when most coins fell along with the stock market. Since then, the market struggled to recover with each new ripple effect of the crash causing damage even further. The latest repercussions came a week ago when the lender’s Celsius and Babel froze the withdrawals for all customers due to potential liquditiy issues. We even saw Three Arrows Capital could be at risk of insolvency as well.
As earlier reported, The bears continued to compete over the market as they pushed BTC to another 18-month low of $17,500 with the altcoins being in a state of despair and ETH standing below $1000 and BNB below $200. last week there was a huge price correction for BTC which dropped from $29,000 to $23,000 and the following few days also brought no joy for the bulls as BTC continued losing value and dropped to $20,000 on multiple occasions.
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