Breaking: Bitcoin price crashes 14% sending cryptocurrency market into tailspin


  • Bitcoin price shows massive sell-off as it slid from $60,900 to $51,541.
  • This crash comes after rumors of the US treasury charging several financial institutions for money laundering using cryptocurrency emerge.
  • BTC could bounce around the 61.8% Fibonacci retracement level at $51,240.

Bitcoin price is experiencing a massive sell-off, resulting in a breakout of a technical formation that contained it for more than three months.

Coinbase direct and Bitcoin price crash

On the 12-hour chart, Bitcoin price has shed nearly $9,000, bringing it down to $51,541. Although unconfirmed, this crash seems to coincide with tweets stating that the U.S. treasuries will be cracking down on financial institutions for money laundering using cryptocurrencies.

While this crash may be unrelated to Coinbase’s direct listing, Peter Schiff, an avid critic of cryptocurrencies, stated,

Rather than being a watershed moment in the life of Bitcoin, the CoinbaseIPO may have marked the beginning of its death.

The market-wide crash has resulted in $1.72 billion worth of long positions liquidated in the last hour alone. Expanding this range to 24-hours shows that 927,000 traders’ positions worth nearly $10 billion were wiped off, with $68.73 million being the largest liquidation so far.

Bitcoin price witnesses first significant crash February

Bitcoin price has dropped 19% over the last three days and 14% in the past 12 hours. This move has triggered a sell-signal from the SuperTrend indicator as BTC sliced through the 50 and 100 Simple Moving Averages (SMA) on the 12-hour chart/

Areas of interest include the 61.8% and 50% Fibonacci retracement levels at $51,240  and $47,022, respectively.

BTC/USD 12-hour chart

BTC/USD 12-hour chart

On the flip side, if investors begin to buy the dips, Bitcoin price could turn around and retest the 78.6% Fibonacci retracement level at $57,245.

Due to massive institutional demand, investors could quickly scoop up BTC, which is now selling at a discount.

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Cryptos feed

Latest Crypto News


Latest Crypto News & Analysis

Editors’ Picks

Experts say Ripple will win SEC lawsuit, which might propel XRP to new all-time highs

Since XRPArmy and lawyers in the crypto ecosystem consider the US Securities & and Exchange Commission’s (SEC) move to pull documents out of public view as evidence that the case is coming to a close, a Ripple win appears more likely.

More Ripple news

Bitcoin Weekly Forecast: BTC must hold $45K to target new all-time highs

Bitcoin price is on a rollercoaster ride as it crashed violently on September 7, consolidated for a few days after that and went on an uptrend to undo the losses. Over the past 24 hours, however, BTC seems to be consolidating for a volatile move without a clear directional bias.

More Bitcoin News

Chiliz price to retrace before CHZ runs up

Chiliz price is stuck in a tight consolidation above a crucial support floor and shows no signs of recovering from this slump. In fact, CHZ might retrace lower before heading on an uptrend.

More Chiliz News

ICX Price Prediction: ICON prepares for 20% descent as bulls fade away

ICON price looks ready for a swift downswing after an explosive run over the past ten days. The crypto markets’ slowdown after the recent run-up makes this bearish scenario a perfect fit. Going forward, investors can expect ICX to head lower and retest stable support barriers.

More Cryptocurrencies News

BEST CRYPTO BROKERS/EXCHANGES



Bitcoin Weekly Forecast: Markets revert to mean, but BTC price remains indecisive

Bitcoin price shows considerable strength after springing from the recent crashes. Still, it is uncertain whether the current bullish impulse will morph into a new uptrend or lead to a more profound decline.

Read the weekly forecast

BTC

ETH

XRP