The Bitcoin price is crashing a few minutes ago, almost to about $ 2,000 up to 7,800 USD. In a strong closeout to the Bitcoin exchange rate has fallen by about 20% and all other crypto-currencies into the abyss pulled. Instead of the hoped-for Altseason, there was pure carnage, which seems to be not yet quite complete. It has caught the most even worse than the Bitcoin exchange rate. Ethereum (ETH) has lost 25%, Tron (TRX) 30%, Ripple (XRP) 18%, Bitcoin Cash (BCH) 30%, Bitcoin SV (BSV) 35%, Cardano 25% and so on. The markets have been dyed red and now the reasons the research begins.In this article, we want all the possible reasons that could have led to the Bitcoin slump. We will also look to see whether a further BTC price drop is likely. Mirco has also picked up the carnage, and made an exciting Video of the behind reasons:
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Bitcoin price collapses to $ 2,000
The Bitcoin exchange rate was able to keep up in the last few days, barely above the $ 10,000 limit. Again and again, the $ 10,000 USD have been broken down. Sustainable, the bears could not prevail but until now – until now. Although the Bitcoin price drop is only a few hours ago but after a quick Comeback, it’s not just.Of course, questions arise in the case of a strong sell-off directly. Especially those who came in fresh in the crypto market and the price trends and sentiment of the last few years have not noticed. In such a Bitcoin price slumps questions arise such as: Why is the Bitcoin price plunged? The Bitcoin price rises again? Should I buy or sell? First of all: don’t Let any emotions!Although we can say just as little in the future and here is a final answer, but we can search for possible reasons in order to understand the break-in better and possible admission probabilities for the future.
The 7 possible reasons for the Bitcoin price drop
Correction
This year, the Bitcoin price has had a strong Comeback. Within about 5 months, has quadrupled in price and has reached a value of 13,700 USD. A rate increase of 300% within the shortest period of time is not sustainable and is, in most cases, then a correction. Although there was a correction and a multiple Striking of the 9,500 USD, but sufficient, it was not apparently.
Bakkt
The expectations of Bakkt were before the Start not at the beginning and middle of the year, but apparently the start date has been priced in the run-up to more than I thought. The rapid rate increase in the middle of the year had a lot of possible reasons – one of them was Bakkt. In addition, the launch of the Bitcoin Futures platform for the majority of it was sobering. On the first day, a total of only 71 Bitcoin were traded in the counter-value of approximately 650.000 USD on the exchange.
Libra
Libra is probably one of the most important factors for the enormous range of Bitcoin and crypto currencies this year. The Facebook Stablecoin has made its way into the Mainstream media not found but still in the crypto-market. Due to the enormous reach of Facebook, many became crypto-currencies in General, and suddenly saw great potential. Therefore, additional money flowed also from this direction. In the last few months has turned the Situation again. The Facebook Coin Libra gets in most of the countries for the time being, no permission. Thus, it could also be for many of the Faith in a time close to the Adoption of crypto now disappeared.
News
The news surrounding Bitcoin in the last months of consistently positive. It is an all-time high was cracked up to the other. But for people outside of Crypto News sites like crypto Monday, not to come the good news is really in the mass. Although you will always find something in the major financial news portals for Bitcoin exchange rate but rarely any Fundamental can analysis to identify. Current is reported in the Mainstream media about Bitcoin is hardly. During the strong Bitcoin exchange rate increase in 2019 every newspaper and magazine has jumped on the Bitcoin train, and reported about it.
Bitcoin Hashrate
The Bitcoin Hashrate has reached a few days ago, a new milestone, and for the first time, the 100.000.000 TH/s broken. Yesterday, however, there was a short-term dip of about 35%. Thus, the Bitcoin Hashrate is slumped in front of the Bitcoin price. Although there is a certain correlation but this usually takes place in the other direction. The hash rate adjusts typically the Bitcoin price. We leave this possible reason, however, and a go in the morning on the Bitcoin hash rate burglary in a separate article in more detail.
Manipulation
Also what the Simple-makers among us. The crypto market is regularly manipulated. This is not a mystery. But if we have to do it this Time also with a Manipulation, cannot be finally clarified. Until now, no large Bitcoin were spotted Whale movements. To completely rule out the not but.
Liquidity
The Bitcoin is the most liquid crypto-currency, but the entire crypto market is relatively small and can be moved by a certain amount of money without Further. Therefore, Bitcoin exchange rate climbs and dips of 10-30% are not uncommon and occur within one year, sometimes multiple times. No need to worry.
Bitcoin exchange rate short-term and long-term prospects
Most likely there is not A reason. It is always a Combination of different factors. But much more interesting is what happens in the next few weeks and months. In the short term it could go further downhill. But we will meet on the way down to some strong resistance zones from the Bitcoin exchange rate. In the long term, the whole thing looks better.In order to find a possible good entry or exit, we will provide you regularly with a Chart update in our TA-Tuesday. In today’s edition, a possible Bitcoin price crash was in prospect.The fundamentals continue to speak for Bitcoin. The Bitcoin price drop has no effect on the long-term potential. The range is growing by the day. Alone Coinbase reported monthly Investments of over 1 billion USD in crypto-currencies. Not only is the infrastructure around Bitcoin continues to grow, but also more successful Start-Ups which adopt the technology of the future and further innovations to create.In addition, more and more institutional investors join in, the trust slowly in the crypto-market. From the regulatory side, there seems to be no problems. This could create additional trust and further money in the market rinse. In addition, it is not just good to the most of the national currencies and the world economy in General. Therefore, money will flow in case of further crises in the speculative markets in other plants – maybe even in Bitcoin. To name only some of the reasons that could help the Bitcoin price in the next few years to new heights. Those who follow our articles regularly, already knows the Big Picture and sees the great potential of Bitcoin, regardless of the price.You want to be one of the world’s leading CFD brokers act? We have for you in our Plus500 Test all of the knowledge about values is collected and written down, where here are the pros and cons are. Just have a look on the Test or see for yourself and join today at Plus500.How will the Bitcoin price in the next few weeks and months? Come in to our Telegram Chat and talk with the experts and the Community. Subscribe to our News channel to not miss any News. (Image Source: Shutterstock)