The crypto market has been on quite a great run recently with bitcoin price breaking resistance levels and setting new highs. In fact, a sharp rejection resistance above $9,000 was very much expected throughout this week.
Finally, the expected happened, unfortunately, when bitcoin did reach $9k, an immediate fake out followed, and now the crypto prices have tumbled almost $30 billion in less than a day.
Crypto Market Cap Feeling the Heat
Fairly to say, the crypto market has been on a good run this year with several coins gaining and hitting new highs. As a result, the total market cap followed suit and reached a new high for 2019 of about $285 billion after the giant crypto bitcoin made its way above $9,000 (just yesterday).
However, the smiling faces of crypto enthusiasts were short-lived as the market cap was smashed almost 10% a few hours later plunging back to below $260 billion.
The sudden move means that it sent almost $30 billion out of the crypto assets back into fiat, giving way for fears of a massive correction.
Altcoins on the Receiving End
As ‘always’ the altcoins are the ones being walloped the most. Agreeably, most of the altcoins are still hopeless and coupled to bitcoin, in a manner that when the giant crypto goes down, they sink too (even further).
Ethereum dropped to around $250 in the 10% slide, and Bitcoin Cash also fell back to $420 losing a similar amount. Furthermore, EOS fell sharply to below $7.80 even breaking the $7.50 support level and hence currently down by 6.39%.
Tron (TRX) was not left behind as it also trimmed its gains declining below $0.0350. Sun-led crypto’s price is down by 10% and currently trading around $0.0315 with the next support level at about $0.0300.
Subsequently, Binance couldn’t stay above $34.00 as it also declined by 7.13% trading below $32.20 level with a further downtrend expected towards $30.50 level.
The Bigger Picture
Looking beyond the current drop, still, at around $260 billion, the market…