Well folks, we hate to ‘toot’ our own horn around here but… TOOT TOOT!
Yesterday we accurately predicted that Bitcoin would drop below $5,000. At time of writing, Bitcoin is currently valued at $4,850, an over 7% drop in the past 24 hours. Making Bitcoin down 76% from it’s all time high.
The top ten cryptocurrencies are all completely bathed in red numbers this morning, including the stable coin Tether which has dropped all the way down to $0.97, making it less than stable. The top hundred are also completely painted in red except for 8 coins, 3 of which are stable coins and the rest which are experiencing temporary stability.
With all of the falling number this past 24 hours, it’s easy to say that there has a huge decline in both volume and momentum. The past 24 hours has resulted in another $25 billion having been wiped out of the crypto market.
What coin is taking the biggest hit?
While Bitcoin may receive most of the media attention, there are two other popular coins that are taking nearly fatal blows during this bear market: Bitcoin Cash & Ethereum.
On November 15th there was a hard fork with BCH that soon became deemed ‘the hash war’. The war resulted in no winners (as most wars don’t), only one who lost less than the other. Bitcoin Cash SV fell from $170 to $60 in only a couple day span, and BCHABC suffered significantly as well dropping from $450 to $270 in the same time span.
BCH is currently dropping in value more than any other crypto. The past 24 hour change for BCH has been -30%, lowering its market value down to $246. BCHABC is aiming to hit a record low in its 15 month existence as it becomes dangerously close to $180.
While BCH may be taking the biggest hit at this time, it’s Ethereum who’s lined up for the worst of it. While ETH has already dropped below $144, it’s looking like their aiming to go even lower, potentially down to $130 here soon as they recently experienced a 30% drop in value.
But what puts ETH in such a bad position at this time> The fact that a majority of ETH is held by ICO start-ups.
“On average, all of these projects have moved or liquidated 62% of the amount that they initially raised. In other words, they are still holding 38% of the initially raised amounts. Obviously, a lot of the ICO companies will continue selling ETH to cover operating expenses and to fund their businesses. It’s important to realize that the majority of these projects isn’t generating any revenue. And most likely never will.”
Market indicators suggest that millions of dollars worth of ETH is being dumped into public exchanges by these ICO holders, or other ETH investors. ETH is down 87% from its all time high.
The rest of the market
While BCH, ETH and BTC are suffering dramatic losses, almost all other cryptos are experiencing devastating losses as well.
The Binance coin is down 74% from it’s all time high, exhibiting a -10% loss in the past 24 hours. Monero (XMR), Tron (TRX), Dash (DASH), IOTA (IOTA) and other major cryptos are averaging double digit 24 hour losses.
The market has been a blood bath the past couple day and is expected to only continue downward.
The market is down… is now the time to buy the dip?