The massive sell-off of digital currency, especially Bitcoin (BTC), grows day by day. It started after a heavy fall on Wednesday, November 14, and the trend seems to be growing stronger. However, on Wednesday, November 21, at press time, it seems there can be “light at the end of the tunnel”.
Currently, Bitcoin is changing hands at $4,540, which is 0.01% higher than a couple of hours ago. According to a crypto expert Tomas Salles, the next major support line for BTC is under $4,000. He had this to say prior to the current decline:
“The second downward target is at the price level of $4,450. This congestion zone began to form in August 2017 and extended its influence until the end of September. Below this price level, the BTC/USD would not find a new strong support level up to $3,676.76.”
Ethereum is changing hands at $136, which is also a bit higher than previously (0.63%). Generally, most cryptocurrencies have turned to “green” zone and increased in price.
Ripple (XRP) is one of the cryptos remaining in the “red” zone and trading at $0.438. However, XRP took advantage and overtook ETH as the second largest crypto by market cap, though it is vulnerable.
Bitcoin Cash (BCH) and Stellar are also still decreasing, trading at $235 and $0.20 respectively. According to the CoinMarketCap data, at press time, the market cap is standing at $144 billion.
According to different experts, they attribute this to the recent hard fork of Bitcoin Cash (BCH), as Coinidol reported.
Nikita Kutsenko, a trader, analyst and Co-Founder of STIPS|FinTech, a decentralized crypto-finance ecosystem for smart investing and asset management, told Coinidol:
“We recommend buying BTC for a long-term period at $3000-3500 zone. At this price accumulated nearest large trade from the last year and the current sharp drop shows the weakness of the bulls and the strength of the bears. On closer inspection, our team expects a local correction of the fall to the area of $5500, as technical indicators show divergence. Recall that this is not the first and not even the biggest fall of BTC. There were 4 similar corrections and the biggest of them was in 2011 when BTC fell to 93%. The industry is developing in great strides and will not disappear. The current fall is a kind of second chance for people to buy cryptocurrency at relatively "cheap" prices. Ether, like all other cryptocurrencies, just follows BTC, there is nothing surprising in its fall. The market is very young and prone to rapid panic.”
Others say it's because of late Bitcoin ETF approval by the US SEC and many other factors. Remember the fight between Bitcoin ABC and Bitcoin SV still continues, as Ayre recently said.