Bitcoin falls below $50,000 as Sell-Off Continues
Bitcoin falls below the psychological support line of $50,000 early Friday morning as a market sell-off amidst rumours about US President Joe Biden’s plan to double Capital Gains Tax.
At around 17:00 UTC on Thursday, bitcoin (BTC, -10.86%)‘s price fell from around $54,900 to $51,500 before the markets inflicted another sell-off to $48,300, according to Bitstamp exchange data. Prices are currently hovering around $49,200 representing an 8% drop or loss of about $4,300 over the previous 24-hours.
“On-chain data suggests we’re still in a long-term bull market,” Ki Young Ju, CEO of South Korea-based blockchain analytics firm CryptoQuant, told CoinDesk “In the short-term, we might have a correction and going sideways in a broad range since the market is over-heated among retail investors.”
Bitcoin fall is well on track to record its biggest weekly drop since February when prices fell 21% before making a recovery and hitting their all-time high of over $64,000. In 2021 alone Bitcoin has fallen more than four times below 15% lasting several days before making a recovery. Find below the major corrections of Bitcoin so far this year 2021
-31% in January which lasted 19 days
-26% in February which lasted 7 days
-18% in March which lasted 12 days
-27% in April which is currently on the 9th day… So far nothing out of the ordinary at this time so remain calm and never sell in loss provided you have good coins/tokens
Major Cryptocurrencies across several exchanges have experienced a significant decline over the past 24hrs. We could be hitting a new low of about $43,000 in Bitcoin if the current support does not hold, however, we still remain bullish as this is a minor market pull back and healthy correction for what’s coming, hold your bags and trade cautiously.