Although the crypto market has not fully recovered from Monday’s bitcoin flash crash, the price of some cryptocurrencies seem to be stabilising.
While bitcoin’s value has not recovered to its pre-Monday levels yet, it’s nosedive has slowed down.
It’s price is down by about 1 per cent in the last 24 hours compared to its value drop by 7 per cent in the previous day, and is trading at close to $42,000.
Ethereum (ether), Solana (SOL), and dogecoin have lowered in values by over 3 per cent in the last day, compared to a nearly 7 per cent 24 hours earlier.
While it is hard to pinpoint what caused the crash, some experts tie it to China’s property market.
Some analysts warn that the latest price dip could form part of a longer-term trend while others remain convinced that any short-term volatility will ultimately be forgotten as bitcoin rises to new all-time highs in 2021.
You can follow all the latest news, updates and expert price predictions in our live blog right here.
- Bitcoin price crash causes crypto market chaos
- Bitcoin price prediction model still on track
BREAKING: Dutch football giants PSV reveals it ‘HODLs bitcoin’
18:26 , Anthony Cuthbertson
One of the biggest football teams in the Netherlands has just revealed that it is holding bitcoin on its balance sheet.
PSV said that it has become the first major football club in the EU to have an entire sponsorship paid in bitcoin from its partner Anycoin Direct.
Rather than exchange the cryptocurrency into fiat, the Dutch club said it plans to “HODL” the bitcoin.
“The possibilities and the future that the world of cryptocurrency offers is very promising,” says Frans Janssen, PSV’s commercial director.
“As a club in the heart of the Brainport region, we are always innovating, cryptocurrency fits well into this picture.”
© Provided by The Independent (PSV)
A third of voters in swing states want bitcoin as legal currency
16:25 , Anthony Cuthbertson
Just a few weeks after El Salvador’s Bitcoin Law came into effect, officially making the cryptocurrency legal tender in the country, a new poll commissioned by Newsweek has found that a third of voters in US swing states want it to be a legal form of payment.
The poll, conducted by Redfield & Wilton Strategies, surveyed voters in Arizona, California, Florida, Georgia, North Carolina, Ohio, Pennsylvania, Texas, Virginia and Wisconsin.
The most enthusiastic states were Texas and Wisconsin, with 37 per cent of respondents keen on making cryptocurrency legal in the next election.
© Provided by The Independent Austin, Texas, has a number of bitcoin ATMs already installed in the city (Getty Images/iStockphoto)
Bitcoin price crashed 90 per cent in network glitch
15:05 , Anthony Cuthbertson
Bitcoin’s price crash this week reached as low $5,402 – at least on one platform.
A network glitch on Pyth, which is used by Wall Street traders, saw the cryptocurrency briefly plunge by around 90 per cent.
The issue apparently prompted a series of liquidation events, which would have actually had a negative impact on bitcoin’s real price, though Pyth is yet to provide any detail about the incident beyond a brief statement.
“Engineers are continuing to investigate the cause and a full report is in the works,” the platform tweeted.
Dormant BTC wallet mysteriously wakes up
12:06 , Anthony Cuthbertson
A bitcoin wallet that has lain dormant for almost nine years has shown signs of life.
The BTC address has not been active since around the time bitcoin’s pseudonymous creator Satoshi Nakamoto disappeared.
In that time it has risen in value from $8,000 to more than $26 million thanks to bitcoin’s exponential price rise.
Exactly who controls it is unclear, though it is not the only old wallet to have activated without explanation in recent years.
You can read the full story here.
© Provided by The Independent
07:07 , Vishwam Sankaran
After falling below $40,000 for the first time in six weeks in the early hours of Wednesday, bitcoin’s value has risen and stabilised around $42,000 in the last few hours.
The cryptocurrency still hasn’t recovered to its value of $47,000 prior to the flash crash on Monday, which took out nearly $200 million from the crypto market.
The overall crypto market is down by about 2 per cent since its values yesterday. Most cryptocurrencies, including Ethereum (ETH), Cardano (ADA), and Solana (SOL), are still down at varying levels between 1 to 5 per cent compared to their prices 24 hours earlier.
The chart is still all red with marginal signs of recovery to pre-Monday levels.
© Provided by The Independent Values of cryptocurrencies over last 24 hours (Coin Market Cap)
05:48 , Vishwam Sankaran
Amid fears that China’s real estate giant Evergrande Group may default on its debt payments and affect the global financial system, including the crypto market, the main unit of the property developer has said it would make a coupon payment on its domestic bonds on 23 September.
Several experts tied the latest bitcoin flash crash, which wiped out nearly $200 million from the crypto market, to fears surrounding the Evergrande Group’s debt payment situation.
But the latest news may offer some relief to jittery markets, according to a report by Reuters.
Ethereum price finally falls below $3,000
Tuesday 21 September 2021 18:25 , Anthony Cuthbertson
The price of Ethereum (ether) has finally fallen below the $3,000 mark after holding on for nearly a day above the milestone figure.
Cardano (ada) is now also threatening to dip below the $2 mark, while dogecoin is hovering dangerously close to the $0.20 mark.
Bitcoin remains above $40,000, though only by a couple of thousand dollars. The latest losses suggest this week’s crash is not quite over, and by the time this downturn does end there may be a lot of key price markers to reconquer.
Bitcoin price right now is irrelevant – MicroStrategy CEO
Tuesday 21 September 2021 15:13 , Anthony Cuthbertson
One of bitcoin’s most prominent backers has described the latest price fluctuations as unimportant when taking into consideration the cryptocurrency’s future prospects.
MicroStrategy CEO Michael Saylor, who has led the software company to become the world’s biggest corporate investor in bitcoin, tweeted that this week’s price or last week’s price won’t matter “in the long run”, as they will both be just a tiny fraction of its ultimate value.
Last week the firm bought a further quarter of a billion dollars worth of bitcoin to take its total holdings above $5 billion.
In the long run, it won’t matter if the price of #bitcoin was .01 or .03 or .05 million dollars when you bought it.
— Michael Saylor⚡️ (@michael_saylor) September 21, 2021
Is bitcoin price still on track for $100k in 2021?
Tuesday 21 September 2021 12:04 , Anthony Cuthbertson
Zooming out on the longer-term market may put bitcoin’s current price difficulties in perspective, but it offers little help in predicting its future trajectory.
Analysts remain divided over whether this is the end of a so-called “dead cat bounce” within a bear market, or if it is just a blip on the way to new all-time highs in 2021.
Subscribing to the latter theory is Brad Yasar, CEO of decentralised finance (DeFi) firm EQIFI, who shared his thoughts with us. He believes bitcoin “isn’t going anywhere near” $25,000 and could still hit $100,000 this year. Here’s what he had to say in full:
Price fluctuations are to be expected. Zooming out, prices fluctuate, but the value will continue to rise. This is the reason behind the concept of dollar-cost averaging and why so many pros advocate for it. With so many models highlighting a multitude of futures for bitcoin’s price, it is impossible to make specific predictions.
When looking at crypto prices, it is always advisable to consider changes in public sentiment and Government regulations which may affect that sentiment. With continued widespread adoption and sentiment enhancement, we could see BTC hit $100,000 in 2022. We could even see this happening as early as November 2021 if there is a rally.
We may see continued dips, but BTC isn’t going anywhere near, say, the $25k mark. It could always happen, but given the institutional interest in acquiring more BTC and continued adoption across a variety of industries, it would be difficult, but it doesn’t mean it could not happen.
BTC will bounce back from today’s low points due to wider adoption whether it comes from retail investors or institutions. It doesn’t matter, more demand means higher prices
Brad Yasar, CEO of EQIFI
‘When in doubt, zoom out’
Tuesday 21 September 2021 10:50 , Anthony Cuthbertson
A common mantra among bitcoin enthusiasts is ‘when in doubt, zoom out’.
The idea is that any short term price movements seem relatively insignificant when taking a broader view of the cryptocurrency market.
The current price of just above $43,000 is still more than twice that of any previous high seen before 2021. The question many analysts are asking this morning is whether this current cycle will mirror that of those seen in 2013 and 2017 – and if so, is it on the way up or down?
© Provided by The Independent
Bitcoin price prediction model still on track
Tuesday 21 September 2021 09:06 , Anthony Cuthbertson
One of the more remarkable things about the latest bitcoin price crash is that it fits in with an extremely positive price prediction model.
Pseudonymous analyst PlanB has amassed more than 800,000 followers on Twitter, largely thanks to the prescience of his Stock-to-Flow (S2F) model that he first applied to the cryptocurrency back in 2019 when the price was below $4,000.
The forecast, which takes into account bitcoin’s inbuilt scarcity, put it on a path way beyond $100,000 in this current market cycle, however with each price crash come fresh doubts.
After the price fell dramatically in the months following April’s all-time high above $64,000, PlanB made a rough estimate of the path bitcoin could take to reach above $100,000 before the end of 2021.
The June prediction put bitcoin at $47,000 in August (it closed last month less than a couple of hundred dollars off that price) and at $43,000 in September (roughly today’s price), before surging to $63,000 in October, $98,000 in November and $135,000 in December.
In June I sketched the rough path of how bitcoin could go towards its s2f target of $100K in Dec. Just confirming we are still on that path IMO. https://t.co/tj6SSwSzKR
— PlanB (@100trillionUSD) September 20, 2021
Tuesday 21 September 2021 06:44 , Vishwam Sankaran
While it is hard to pinpoint what exactly caused the latest bitcoin flash crash, some experts say it could be tied to China’s property market.
Experts say concerns surrounding speculation that the Evergrande Group – China’s second-largest property developer – will default on its $300 billion in debts could be driving the current crypto market crash.
To allay fears over the property developer defaulting on its pay, Chinese authorities have injected about $14 billion into its banking system.
However, the cryptomarket continues to nosedive, valued currently at $1.87 trillion – dropping in value by over 7 per cent in the last 24 hours.
Bitcoin, which was valued at close to $47,000 on Monday morning, is currently priced at $42,000, with no signs of recovery yet.
Other cryptocurrencies, including Ethereum (eth), Solana (sol), and Dogecoin (doge), are also down by more than 5 per cent over the last 24 hours.The chart still looks all red with no signs of recovery yet.
© Provided by The Independent (Coin Market Cap)
Bitcoin is ‘cyberspace bank’ serving the unbanked
Monday 20 September 2021 20:06 , Anthony Cuthbertson
One reason for El Salvador’s president, Nayib Bukele, to “buy the dip” today is because he sees the long-term potential of the cryptocurrency in countries such as his.
Just two weeks after El Salvador officially introduced the Bitcoin Law, which officially made the cryptocurrency legal tender, more than 1.1 million people are already using it as a day-to-day currency. That’s roughly one sixth of the country’s population that didn’t previously have access to traditional financial services.
“It seems that we will be able to bank more people in one month, than they did with nationalisations and privatisations of traditional banks in 40 years,” President Bukele said.
It prompted another staunch believer in bitcoin, MicroStrategy CEO Michael Saylor, to praise bitcoin and the stance El Salvador has taken. As the largest corporate investor in bitcoin, with billions on its balance sheet, it wouldn’t be surprising to learn that Saylor is also buying the dip.
#Bitcoin is a bank in cyberspace, run by incorruptible software, offering a global, affordable, simple, & secure savings account to billions of people that don’t have the option or desire to run their own hedge fund. https://t.co/w7yQnskrZo
— Michael Saylor⚡️ (@michael_saylor) September 20, 2021
Bitcoin in ‘greatest buy zone in history’
Monday 20 September 2021 17:34 , Anthony Cuthbertson
Many long-term bitcoin holders are using today’s price crash to push the “buy the dip” narrative in the hope that it will bounce back stronger.
Bitcoin podcaster Cedric Youngelman even goes as far as describing it as “the greatest buy zone in history”.
We are now entering the greatest buy zone in history.#Bitcoin
— Cedric Youngelman ⚡️ (@CedYoungelman) September 20, 2021
Other traders are offering a more cautious view on the market, with bitcoin author Glen Goodman describing it as “choppy hell” that is too risky to call either way.
“This is why most of my money remains on the sidelines, waiting for better opportunities,” he says.
$BTC is officially stuck in choppy hell. These are *not* good crypto-trading conditions, for buyers or even for short-sellers. This kind of sideways chop can last for weeks or even months. This is why most of my money remains on the sidelines, waiting for better opportunities… pic.twitter.com/eHOB10PnI7
— Glen Goodman (@glengoodman) September 20, 2021
Bitcoin price stabilises?
Monday 20 September 2021 17:00 , Anthony Cuthbertson
The price of bitcoin appears to have stabilised at around $44,000 following the series of flash crashes earlier in the day that saw it drop from above $48,000.
Other leading cryptocurrencies also seem to have levelled out, with Ethereum (ether) just holding above the $3,000 mark and dogecoin managing to keep above $0.20.
Which way it goes from here depends on who you ask, with many bitcoin maximalists backing up Salvadoran President Nayib Bukele by claiming that now is a great time to “buy the dip” in anticipation of future price gains.
Bitcoin sees huge interest from institutional investors
Monday 20 September 2021 16:41 , Anthony Cuthbertson
One thing that has been interesting about major bitcoin price crashes in 2021: each low has still been way above any previous high seen in 2020 or earlier.
One reason for the lows being not as low as those in the past is that bitcoin is now bolstered by massive institutional investment. New research from Fidelity Digital Assets has found that 52 per cent of institutional investors now hold bitcoin or other cryptocurrencies
We’ve heard from Simon Peters, a market analyst at the online trading platform eToro, who explains what this means for the overall crypto space.
The results demonstrate the appetite of investors for cryptoassets in portfolios with some 80 per cent of Asian investors and 75 per cent of European investors saying they have plans to buy cryptoassets. 70per cent of Asian investors already hold some form of cryptoasset.
An impressive 84 per cent of European and US investors expressed an interest in purchasing institutional investment products that contained cryptoassets.
Simon Peters, eToro
Bitcoin price pattern mirrors 2013 and 2017
Monday 20 September 2021 15:29 , Anthony Cuthbertson
The counter argument to the ‘dead cat bounce’ theory from the last post is that this bitcoin price crash is just a blip amid a record-breaking bull run.
Similar dips were seen in 2013 and 2017 in the run up to new all-time highs, and some analysts have pointed to “consistent” market patterns this time around.
Bullish analysts believe the peak of this current cycle is above $100,000 – way above the $64,000 price record seen earlier this year – and that it will be hit before the end of 2021.
Currently at around $44,000, bitcoin has a lot of climbing to do if it’s to achieve that.
— TechDev (@TechDev_52) September 19, 2021
Bitcoin price crash ‘dead cat bounce’ completed?
Monday 20 September 2021 14:50 , Anthony Cuthbertson
The latest price crash has divided bitcoin analysts over whether this is the beginning of a longer-term downward trend, or just a blip on the way to new all-time highs.
According to the pseudonymous Mr Whale, who has racked up more than a quarter of a million Twitter followers with his largely pessimistic predictions, the recent price gains were part of a “dead cat bounce” price pattern.
This is where the price rebounds during a bear market, before continuing to plummet. Mr Whale shared this image today to illustrate the phenomenon, though there has been plenty of pushback from crypto advocates dismissing this take.
Mr Whale puts bitcoin on a path to reach below $10,000 within the next year, though it should be noted that he had bearish forecasts all throughout the 2020/21 bull market.
© Provided by The Independent (CryptoWhale)
El Salvador ‘buys dip’ during bitcoin price crash
Monday 20 September 2021 14:09 , Anthony Cuthbertson
Bitcoin price crashes typically prompt one of two extreme reactions from traders and investors.
The first is to panic sell, which is usually the response of short-term holders and those new to the market. This forces the price down even further and induces more fear among other so-called ‘paper hands’, who also sell.
The second reaction is to use the price drop as an opportunity to acquire more bitcoin at a cheaper price. These so-called ‘diamond hands’ are often long-term holders who are familiar with its wild fluctuations but are bullish about its longer-term trajectory.
El Salvador’s president has proved himself to be in the latter camp, despite only recently buying bitcoin for the first time. Nayib Bukele revealed that he has “bought the dip” with a $6.7 million investment into the cryptocurrency.
You can read the full story here.
© Provided by The Independent
Dogecoin founder rides out price crash in typical fashion
Monday 20 September 2021 13:52 , Anthony Cuthbertson
Dogecoin founder Billy Markus has responded to the market-wide price crash by sharing a gif of the “This is fine” dog.
The meme-inspired cryptocurrency has seen some of the heaviest losses on Monday, falling by nearly 15 per cent and showing no signs of slowing down.
Having traded above $0.25 over the weekend, dogecoin is now threatening to fall below $0.20 for the first time since May. Despite these losses, the cryptocurrency is still up nearly 10,000 per cent since this time last year.
It’s not much consolation for Markus, who sold his original holdings years ago and only bought back in earlier this year (though still when dogecoin was below $0.20).
looking at crypto charts pic.twitter.com/tONm9rJ9LA
— Shibetoshi Nakamoto (@BillyM2k) September 20, 2021
Bitcoin price flash crash prompts crypto market dip
Monday 20 September 2021 12:29 , Anthony Cuthbertson
Bitcoin has suffered a series of mini flash crashes on Monday morning, pushing the price below $45,000.
Having traded close to $49,000 over the weekend, the cryptocurrency is now back at the levels it was at exactly one week ago.
The price fall has prompted a market-wide dip with other leading cryptos falling by between 5-15 per cent at the start of the week.
Of the top 10 leading cryptocurrencies, Solana (SOL) has been the hardest hit. The altcoin fell by more than 13 per cent over the last 24 hours, pushing its market cap down to $41 billion – $15 billion down from its peak earlier this month.
© Provided by The Independent (CoinMarketCap)Previous