In the last six days, the collapse of sales in the cryptocurrency market has meant that investors were looking for an elusive fund on important assets such as bitcoins, bitcoin liquidity and Ethereum. However, the breakdown of the main technical levels, combined with the total disregard for the fundamentals, suggests that the underlying process is not yet complete.
Crypto Selloff deepens
The combined value of all coins in circulation fell below $ 169 billion on Monday for the first time since October 2017. The selloff opened the floor to the bottom of the $ 175 billion last week, paving the way for a deeper correction. short term.
Trade volumes between the major stock exchanges increased during the 24-hour cycle to reach a maximum of $ 17 billion, according to CoinMarketCap. In terms of adjusted volumes, Binance was the largest exchange of cryptocurrencies with a daily turnover of $ 1 billion. OKEx has processed transactions worth $ 939 million, based on the latest available data. Both bags have seen their daily business turnover jump over 67%. Bitfinex recorded the most dramatic increase in volume, with an increase in turnover of 243% to $ 503.6 million.
OKEx has been in the spotlight for all the wrong reasons on Monday, while users have flung themselves against the exchange for having prematurely closed open positions on futures contracts with bitcoins. The contracts were closed on November 14 without warning, leading to considerable losses through its user base. The decision to force early liquidation reflects continued confusion about how to handle the bitcoin cash hard fork.
Kraken has already credited bitcoin SV tokens to existing BCH owners, but warned of extreme risks of trading the new currency. In a Sunday blog post, the exchange described a number of "red flags" associated with SV, including the lack of portfolios to support playback protection and the "temporarily limited" offer. It is also likely that a large proportion of BCH SV holders will discharge the currency with a substantial price increase.
The founder of Bitmain and the ardent supporter of ABC Jihan Wu have publicly expressed his desire to download SV as quickly as possible.
"I'm wondering when I can deposit my BSV token in exchange for selling," the billionaire tweeted Saturday.
Cash Over Bitcoin Cash Intensifies
The battle for bitcoin money has direct implications on bitcoin, the leading digital currency whose market capitalization plunged nearly $ 20 billion over the six-day selloff. Craig Steven Wright, one of the main proponents of the bitcoin chain SV, has threatened to tank BTC if its miners move on bitcoin ABC, which is the main implementation of the BCH fork.
Bitcoin was also influenced by Roger Ver's decision to move the entire mining pool of bitcoin.com into ABC, a move that made some users angry that they never intended to extract money from bitcoins. The hash war exposes bitcoin money to security risks as the pools associated with the bitcoin SV chain mine threaten to block empty blocks or make 51% attacks. According to the CCN, it is likely that different pools and individual miners will adopt an opportunistic approach through chain navigation, which will automatically change between chains based on the difficulty of the blockade.
Outlook of prices
Meanwhile, market observers have set a new bitcoin price target for $ 5,000. Based on the latest price action, a fall below that level is likely in the short run, as the $ 5,000 psychological support is attacked.
As for bitcoin money, prices issued another 8% on Monday to reach a new seven-month low of $ 352. The fourth largest cryptocurrency is down 33% from last week – losses that exceed all the major cryptocurrencies in the top-20. BCH risks a further fall to the low $ 300 and probably below this threshold in case the hash war continues unabated.
Ethereum emerged as one of the biggest selloff losers on Monday, with falls of over 11%. The ether is currently trading at $ 155, the lowest since May 2017.
Disclaimer: The author owns bitcoin, Ethereum and other cryptocurrencies. It holds investment positions in the currencies, but does not carry out trading activities in the short term or daily.
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