Cryptocurrencies suffered yet another plunge in the red, losing over $6 billion in total market capitalization in 24 hours. The main culprit – Bitcoin, fell almost 4 percent and smashed into the $3,400 resistance mark.
The bulls were having difficulties staying on the $3,600 resistance point, respectively trading volumes decreased, thus – giving the bears enough leverage to bring down Bitcoin’s price.
Bitcoin fell to a new yearly low of $3, 407, which is an indicator that we may expect further losses for the #1 cryptocurrency based on market capitalization. Experts are expecting the negative trend to continue, pushing Bitcoin’s price even further down – below the $3,000 mark. The effects of the bearish Bitcoin trend have affected other cryptocurrencies as well.
Ethereum, the world’s third-largest cryptocurrency to date, has been losing its ground since the beginning of 2019. Ethereum lost over 7% during the 24-hour spree, with overall losses marking over 34% percent during January alone. The main reason for Ethereum’s crash is the continuous postponing of the Constantinople hard fork. Experts are expecting Ethereum to drop below the $100 mark.
Other altcoins suffered even bigger, double-digit losses. Cryptocurrencies such as Bitcoin Cash, Stellar, IOTA, and Bitcoin SV have lost up to 20% in just 24 hours.
In the spree of losses, Tron managed to climb up to seventh place, growing bigger than Litecoin. EOS surpassed Bitcoin cash and took the fourth place. Ripple’s XRP coin has managed to stay in front of Ethereum, securing its second place with minor losses.
The total market capitalization has been floating around the $120 billion marks, but the recent clash pushed the overall cryptocurrencies value to around $113,6 billion. If the bearish trend continues, experts are stating that the crypto community may see a total market capitalization of below $100 billion, especially if Bitcoin falls beneath $3,000.
The bearish market can be a subsequence of market adjustments and volatility leveling. One thing is sure – with the lower cryptocurrency prices, more and more enterprises are opting in on cryptos and the blockchain technology behind it.