Yesterday afternoon, the price of Bitcoin (BTC) plunged from a new 2019 high of $9,030 down to support at $8,000. Bitcoin (BTC) has slowly and steadily recovered throughout today and is currently trading near $8,440.
The stock market is in the red today with the Dow Jones Industrial Average (DJIA) down over 300 points. This has perhaps contributed to today’s Bitcoin (BTC) recovery. An increasing inverse correlation has become apparent between stocks and Bitcoin (BTC) since, when stocks are doing poorly, Bitcoin (BTC) becomes one of the only profitable investment options.
There is a critical support level at $8,000, and this level must hold, or a significant price crash is possible. There appears to be local resistance near $8,500 and resistance at $9,000 is the level to watch to see if Bitcoin (BTC) can continue the recent bull run.
The crypto market is generally in the red today although, since the lows hit yesterday afternoon, the crypto market is actually up. Evidence of this is in the total crypto market cap rising $8 billion since yesterday at 5 p.m. Eastern time even though, in the past 24 hours, the total crypto market cap is down $5 billion.
Ethereum (ETH) is down 2.1%, Ripple (XRP) is down 2.5%, Bitcoin Cash (BCH) is down 3%, Litecoin (LTC) is down 1.8%, Binance Coin (BNB) is down 2.1%, Bitcoin SV (BSV) is down 1.4%, Stellar (XLM) is down 3.1%, Cardano (ADA) is down 2.2%, Tron (TRX) is down 2.3%, Monero (XMR) is down 1.4%, Dash (DASH) is down 2.4%, Tezos (XTZ) is down 6.4%, and Dogecoin (DOGE) is down 0.8%.
EOS and IOTA (MIOTA) have managed to rise into the green with gains of 2% and 1.2% respectively. EOS was added to Coinbase today, which is probably the reason it is up despite most of the crypto market being in the red.
The total crypto market cap is currently $268 billion, which is 168% higher than the bear market low of $100 billion in December.
The CME Bitcoin futures expiration happened today, and it will be important to watch which way the crypto market moves over the next week since that will likely give a good idea of the trend for June.