The cryptocurrency markets are defining a new meaning of ‘bloodbath’ as the markets continued to fall on Friday. The prices are now testing the patience of the staunchest crypto bulls who are now questioning the state of the market.
While the world celebrated Thanksgiving and retail rejoiced with Black Friday deals, cryptocurrency traders saw nothing but carnage as the week has been one of the worst ever for the markets this year. However, the weekend has now begun and so far its a mixed picture with some cryptocurrencies trading up, some down and some flat.
Bears Continued Pulling Prices Down
The rise of digital coins in 2017 was meteoric. However, their fall from grace has been equally dramatic. This week, Bitcoin fell far below the $5,000 mark and has refused to get back above. The premier cryptocurrency of the world, which had managed to maintain a market capitalization above $100 billion, has now lost it and slashed its valuation by another quarter. With a $75.5 billion market cap Bitcoin is still ahead of Ripple XRP which stands at $16.5 billion and Ethereum which stands at $12.8 billion.
All the major cryptocurrencies fell along with BTC on Friday as well, making the Bloomberg Galaxy Crypto Index fall by 25 percent, marking the worst 5-day performance this year. The concerns regarding increased regulatory pressures and infighting (which led to the Bitcoin Cash hard fork and two competing chains) in crypto communities could be leading to losses, which are nearing $700 billion for the year.
Bitcoin Could Fall to $2,500 in January Says Analyst
Stephen Innes from Oanda Corp. suggests that the market is not showing respite yet, and there is still some pain left before Bitcoin bottoms out. He expects the digital currency to trade between $3500 to $6500 this year.
“There’s still a lot of people in this game. [If BTC] collapses, if we start to see a run down toward $3,000, this thing is going to be a monster. People will be running for the exits.”
He said that Bitcoin has the potential to fall to $2,500 by January next year.
When will the market bottoms out? Will the hopes of Bitcoin bulls see the light of day or will the cryptocurrency sector continue to be marred by regulations, bans, hacks, and falling prices? So far this weekend is a mixed picture with the top large-cap performers being Bitcoin Gold (BTG) up 4.6% and Monaco (MCO) up 2.6%, while the biggest losers are Bitcoin Cash (BCH) down 1.1% and Stellar (XLM) down 1%. Bitcoin is trading flat.
A Bad Week for the Crypto Market so Far, Will the Weekend Bring Any Improvements? was originally found on [blokt] – Blockchain, Bitcoin & Cryptocurrency News.