Bitcoin is experiencing a bearish market with the price dipping on Thursday morning below the $6000 mark. The digital currency fell roughly 10% to around 5, 646, according to data from CoinMarketCap which tracks digital assets.
Other major cryptocurrencies also crashed, with many dropping in price even more dramatically than BTC. Ethereum (ETH), the 2nd largest digital asset by market capitalization, has plunged by 13 percent over the last 12 hours. The cryptocurrency is now worth about $178 at the time of writing. This is the first time ETH has plunged below $200 since September 2018.
Bitcoin Cash (BCH) has seen an even more dramatic decline, recording a shocking 16% drop. The fourth virtual coin, which will undergo a hard fork today (Nov.15), is currently trading at $430.
With most cryptocurrencies in the red, the digital currency market has shed over $10 billion in 24 hours, if data from CoinMarketCap is anything to go by. The loss marks the lowest point since November of last year. However, the market has slightly recovered and is hovering at $185 billion, according to Coincodex.
What is going on with the Bitcoin and altcoin prices?
Many investors are wondering what caused the crypto market to spiral downward after months of low volatility. However, the reason for the sharp decline may not become evident immediately. But it seems the declining price is part of a broader digital currency sell-off that saw most major virtual coins by market cap plunge in value in the last few hours.
Veteran bitcoin analyst Willy Woo said that virtual currencies are still in the middle of a bearish trend. The sell-off period may extend to next year and investors shouldn’t expect a bull ride to kick in any time soon.
Woo’s sentiments were echoed by a former Wall Street banker Mike Novogratz who said that bitcoin would break out of it 2018 sluggishness and skyrocket to $20,000 next year.