New $5 Billion Wipeout Puts Bitcoin Below $3,500

In this Monday’s crypto news, we are seeing another wipeout of $5 billion which affected the top cryptocurrencies badly, putting Bitcoin below the $3,500 mark. Currently, the market cap is at $219, dropping $5 billion from the yesterday’s total of $224 billion.

Many traders have expressed their concerns previously, saying that a drop below the $3,500 mark could lead the price of the most dominant cryptocurrency to the $3,000 region or possibly below it, if the bearish run continues.

The crypto market suffered a minor correction which also affected altcoins such as Ethereum, Ripple, Bitcoin Cash and EOS. According to the prominent cryptocurrency trader and analyst DonAlt, a short term fall to the $3,400 mark is an expected move for Bitcoin.

As he said:

“Perfectly responded to the drawn level. $3,500 has acted as support 3 times already if it is hit another time I’d expect it to break. Finally approaching a level ($3,400) that I might trade again. Until then still sitting tight fully hedged.”

However, a more continuous drop may also result in an intensified downward movement for major crypto assets. Ethereum, which has fallen below Ripple (again) and became the third most valuable altcoin on the market, dropped by more than 6% overnight against the US dollar.

According to another technical analyst known by the handle Hsaka:

“Yesterday’s sell the rally analysis played out like a beauty. Bounced before the $3,430 support level. Took out lows (green dashed) of this consolidation. Neutral here, not shorting into HTF support. Covered my BTC short, holding ADA and BCH,”

The volatility is what appears to have set the major cryptocurrencies in a low price range, leading Bitcoin close to its 2018 bottom of $3,100.