Bitcoin (BTC) started Thursday (September 26) at $8,431. Sadly, by 15:50 UTC, the BTC price had dropped below the key $8,000 support level to $7,932.
This week has not been kind to Bitcoin (and crypto in general). First, we had the panic selling on Tuesday (September 24), a day during which the BTC price dropped by as much as $1500. BTC-USD started that day around the $9,700 mark and finished it around the $8,700 level.
Most market observers blamed this drop on either a disappointing Bitcoin futures launch by Bakkt and/or an (as yet) unexplained estimated 30% drop in hash rate of the Bitcoin network.
In the early part of today, it looked like the crypto markets were going to have a good day, more so for altcoins than Bitcoin, but at around 08:00 UTC, BTC-USD was trading at $8,381, up 0.63% in the preceding 24-hour period.
Unfortunately, around 13:15 UTC, things took a nasty turn for Bitcoin because that's when BTC-USD started dropping like a stone, going from $8,419 to $7,822, i.e. a fall of over 7% in just a little over three hours.
At press time (17:10 UTC), BTC-USD has recovered somewhat, but it is still trading below $8,000:
Here is what Dovey Wan, a Co-Founder of Primitive Ventures, had to say about the Bitcoin price dropping below $8K:
Tho daily hasheate chart is volatile and highly depending on statistical expectation, if $BTC price drops to sub $7500, there will be a significant impact on S9 miners— Dovey Wan 🗝 🦖 (@DoveyWan) September 26, 2019
S9 is now on the verge of shutting down, and whoever gets into mining post May on S9 can hardly get break even
As for BitMEX, the world's largest crypto derivatives exchange (by trading volume), in the past 24-hour period, over $113 million of Bitcoin (XBTUSD) long contracts have been liquidated.
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