No one saw that coming!
Crypto currencies took a big plunge today, before dip buyers stepped in to cause prices to stage an impressive bounce from the lows.
Source: ThinkMarkets and TradingView.com
At one point, Bitcoin was down over 18%, Ether was some 20% lower, Doge had shed 30% and Cardano’s ADA had lost a quarter of its value.
However, at the time of writing, crypto prices had started to rebound. Bitcoin was around 10% off its lows, but still remained well in the negative territory.
Bitcoin’s recovery started when Nayib Bukele, President of El Salvador, tweeted that he’s buying the dip! Apparently 150 new coins were added.
Whether this will ignite fresh momentum buying remains to be seen. Bitcoin's repeated failure to hold above $50K must be concerning some bullish investors.
It looks like the rebound in bond yields and US dollar is what has hurt cryptos – and precious metals for that matter.
Gold dropped sharply today, before the sell-off came to a bit of a pause around $1795, which is a pivotal level.
Bitcoin, meanwhile, was near the upper end of $46K handle after it had fallen to below $43K handle.
Any opinions, news, research, analyses, prices or other information contained on this website is provided as general market commentary and does not constitute investment advice. ThinkMarkets will not accept liability for any loss or damage including, without limitation, to any loss of profit which may arise directly or indirectly from use of or reliance on such information.
Learn and earn more today.
Visit our Education Centre