Bitcoin, Ethereum and other major cryptocurrencies suddenly crashed, wiping about $100 billion from the combined cryptocurrency market in just minutes (and after a serious bitcoin price warning).
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Bitcoin price is down about 5% in the last 24 hours and Ethereum price has seen a similar drop. Ethereum rivals solana, cardano and avalanche are all down about 3%, while Ripple’s XRP and Terra luna lead the mainstream cryptocurrency market lower.
The sudden drop comes against the backdrop of a stock market dominated by technology companies, following the Federal Reserve’s 50 basis point rate hike.
A massive sell-off in cryptocurrency prices destroyed about $100 billion in market value when the…. [+] The price of bitcoin, ethereum, XRP, solana, cardano, luna and avalanche suddenly fell.
Bitcoin’s struggle is certainly not an isolated one – the S&P 500 [est tombé] to a new low for the year,” Sam Kopelman, the UK manager of bitcoin and cryptocurrency exchange Luno, said in email comments, warning that bitcoin “could slide back into the $36,000-$37,000 support zone previously found.”
However, Kopelman is optimistic about the bitcoin price, but less positive about other major coins such as ethereum, XRP, solana, cardano, luna and avalanche.
“Overall, in 2022, cryptocurrency market participants have generally moved down the risk ladder and sold their smaller coins for blue chip coins like bitcoin,” Kopelman said.
Bitcoin price suddenly broke below the recent $38,000 per bitcoin support level.
The market was late in reacting to the Federal Reserve’s biggest rate hike since 2000. Initially, it was excited about Wednesday’s announcement of the news, leading market observers to believe that this potentially bearish event had been anticipated.
“The market has clearly priced in this bearish event in the weeks leading up to the FOMC meeting, where we saw significant selling pressure,” said Marcus Sotiriou, an analyst at UK-based digital asset brokerage GlobalBlock. decision.
Earlier this week, an experienced trader warned that the price of bitcoin could fall as low as $28,000, down $10,000 per bitcoin from its current price.
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