The upward climb of Bitcoin (BTC) and crypto prices from Feb. 18-20 may have deceived some people into thinking that a real bull run was underway, but today the bears are re-asserting themselves.
After nearing $4,000 just after midnight, Bitcoin (BTC) dropped as low as $3,865. During the rest of the day Bitcoin’s (BTC) price has been quite volatile, and it currently sits near $3,900.
The CME Bitcoin futures expiration tomorrow may be part of the reason there is downward pressure on Bitcoin (BTC) today. Data from the first two weeks after the January expiration suggested that CME traders went short. However, they perhaps shorted too close to strong support and may get burned this month unless Bitcoin (BTC) can decline below $3,500 by tomorrow morning, which is unlikely. That being said, CME traders may be trying to push Bitcoin (BTC) down, or keep it from rallying more, to decrease losses.
All major cryptocurrencies have migrated to the bear side of the fence today. Ethereum (ETH) is down 1.4 percent. Ripple (XRP) is down 2.5 percent. EOS is down 2.2 percent. Litecoin (LTC) is down 4 percent. Bitcoin Cash (BCH) is down 3 percent. Stellar (XLM) is down 1.1 percent. Tron (TRX) is down 0.7 percent. Binance Coin (BNB) is down 3.6 percent. Cardano (ADA) is down 4.8 percent. Bitcoin SV (BSV) is down 2.5 percent. Monero (XMR) is down 2.6 percent. IOTA (MIOTA) is down 3.9 percent. Dash (DASH) is down 3 percent, and Dogecoin (DOGE) is down 2.2 percent.
Other negative news that may be contributing to the bears today is that the SEC has cracked down on the Gladius ICO, the first SEC enforcement action against an ICO since the government shutdown. This may raise fears that more ICO enforcement is coming.
Due to the losses across all major cryptocurrencies, the total crypto market cap has declined from $136 billion to $133.5 billion over the past 24 hours.
This is over 30 percent higher than the bear market low of $100 billion in mid-December. That being said, the bear market is not done yet. The recent rally to $4,000 was merely a blip on the long term chart.