Bitcoin, Ethereum and Altcoins Trend Overwhelmingly Negative

Put in perspective, bitcoin price by this time previous year, closed at just over $8,000 with a market cap of more than $134 billion.

The value of bitcoin slipped Monday below $5,000 (4,366 euros) for the first time since October 2017 as a broad selloff gathered steam on the opaque cryptocurrency market. It seems the trend turned bearish for almost every cryptocurrency, except for USD Coin, QASH and Dai showing minor increase.

According to industry tracker Coinmarketcap.com, the total market capitalization of virtual currencies is now below $150 billion, down from around $800 billion in January.

A numer of factors are driving prices lower including the contentious Bitcoin Cash fork, the delay of Chinese Bitcoin miner Canaan's IPO and last Friday's SEC release classifying two ICOs as securities. At the time of writing, BCH/USD (ABC) plunged 4.55 percent to $210.00, its lowest since its emergence out of the hard fork and BCH/USD (SV) plunged 31 percent to 39.21.

At least some of it has been attributed to a battle for control of a smaller crypto operator called bitcoin cash. While it looks like a buyers' market, investors still need to do their research before buying.

Bitcoin (BTC), as well as some of its peers like Bitcoin Cash (BCH) and Ethereum (ETH), has touched its new low. Cryptocurrency advocates say bitcoin is still young and price volatility is to be expected. Bitcoin Cash (Bitcoin Cash ABC) is down by more than 40% in just a day and has been overtaken by Stellar (XLM) in the Market cap. That came as two software-development factions failed to agree on a way to upgrade the offshoot of the original Bitcoin, leading to a computing power arms race.

The entire cryptocurrency market is down by 33% in the last 48 hours.

Furthermore, it indicates that the market is being crystallized to form a more stable rate of growth, bringing stability to the overall value of the crypto market too.

In today's trading, the Ethereum price stood at $154.97, as of 14:08 GMT. The cryptocurrency has fallen by over 30% since final Thanksgiving.

Bitcoin has plummeted over 75 percent this year from a peak of $20,000 touched in December as retail investors piled into a one of the largest bubbles in history.

"The selloff is related to enforcement, which is nearly certainly underway".

When one considers the 7-day period, Bitcoin Cash's highest point of the week was $541: the currency has lost 60% of its market cap in the past seven days - a direct impact of the hard fork. Meanwhile, the near-term support is seen at $3.85 and resistance at $4.80. And also, Bitcoin has lost more than 62% of its value this year alone.

  • Eleanor Harrison