At 12:40 p.m. At UTC time, the price of Bitcoin (BTC) dropped from $ 9,574 to $ 8,112 in 15 minutes.
The 15.30% decrease was due to the high-level digital asset on CoinMarketCap having difficulty resuming $ 9,800 support after falling below the support that formed the basis for a bullish pennant and also aligned with a high volume node on the display of the visible area of the volume profile.
Weekly price chart of the cryptocurrency market. Source: Coin360
The unexpected decline should have surprised many traders, and skew data shows that BitMEX’s hourly residuals reached $ 226 million.
BitMEX / XBTUSD remaining stock. Source: Skew.com
Interestingly, the price recovered from 61.8% of the Fibonacci retracement level, a point often referred to as the “gold pocket”. Traders seem to be keen to buy at this level as bitcoin price has recovered and is trading at $ 8,600. However, BTC still has to earn more than $ 8,800 to indicate that a recovery is in progress.
The sudden drop also means that there is now a CME bitcoin futures gap of just over $ 10,000.
Bitcoin weekly price chart. Source: Coin360
The altcoins were also hit hard when the bitcoin price dropped $ 1,500. Currently, the price of ether (ETH) has dropped 10.24%. Binance Coin (BNB) lost 11.58% and Bitcoin Cash (BCH) fell 12.44%.
The global capitalization of the cryptocurrency market is now $ 240 billion, and Bitcoin’s dominance rate is 66.9%.