Around 7 p.m. Eastern time yesterday, Bitcoin (BTC) quickly dropped from $8,500 to $7,800. Bitcoin (BTC) managed to rise to $8,000 by 10 a.m. this morning, but another round of selling this afternoon brought Bitcoin (BTC) down to as low as $7,560. Currently, Bitcoin (BTC) is trading near $7,600 with a 24-hour change of -10%.
The price drop over the past day seems to be the decisive move the market was waiting for following the CME Bitcoin Futures Expiration on Friday. The CME Bitcoin futures expiration is often correlated with trend shifts in the Bitcoin (BTC) market, and this time, the trend seems to have shifted from bullish to bearish. The sharp down move over the past day suggests that further drops in Bitcoin’s (BTC) price are possible this month.
The stock marketing being bullish today, with the Dow Jones Industrial Average (DJIA) gaining over 500 points, may also be related to today’s crypto sell-off. An increasing inverse correlation has been noted between the crypto and stock markets.
The crypto market is deep in the red with most cryptocurrencies down over 10%. Ethereum (ETH) is down 8.2%, Ripple (XRP) is down 10.5%, Bitcoin Cash (BCH) is down 11.9%, Litecoin (LTC) is down 9.3%, EOS is down 12.3%, Binance Coin (BNB) is down 7.4%, Stellar (XLM) is down 9.5%, Tron (TRX) is down 9.2%, Cardano (ADA) is down 13%, Monero (XMR) is down 11.6%, Dash (DASH) is down 11%, IOTA (MIOTA) is down 11.1%, Cosmos (ATOM) is down 15.6%, Ethereum Classic (ETC) is down 15.9%, NEO is down 14.3%, Tezos (XTZ) is down 17.1%, Zcash (ZEC) is down 11.3%, and Dogecoin (DOGE) is down 7.3%.
The total crypto market cap has lost $27 billion over the past 24 hours and is currently near $245 billion, making today one of the most bearish days in the past few months. Indeed, today the bears re-asserted themselves, and it seems it is too early to declare that the bear market is over. The total crypto market cap has lost $42 billion since the 2019 high of $287 billion on May 30.
That being said, even after today’s significant bear action the total crypto market cap is still 142% above the bear market low in December.