Bitcoin experienced a 24-hour to forget after plunging below $40,000 for the first time since August 5th. However, the number one cryptocurrency has recovered above that line and trade above $42,000 at press time.
Altcoins followed Bitcoin’s pattern too in the time frame with ETH plunging below $3,000 and SOL dropping by more than 6%.
Bitcoin slumps below $40,000 line
These are not very good times for Bitcoin especially after ticking the right boxes recently. Days back, BTC traded above $48,000 with analysts predicting a surge above $50,000 soon.
However, the situation vigorously changed on Monday as the market took a different turn. Even the stock market experienced a significant dump in value.
When it happened, Bitcoin began to shed its values and after few hours it slumped from $48,000 to a daily low of $42,500. It attempted a rapid recovery, but the bears intercepted the move at around $44,000 and pushed it south once more.
Afterward, it dropped to $40,000 surged back to $43,000 at a point before it finally dumped its way to $39,600, its lowest price since August 5th.
However, it has sprung up above $40,000 and trades above $42,000. However, its market capitalization is down to $800 billion after closing in on the $1 trillion mark two weeks ago.
Altcoins reek of red as ETH dumps below $3,000
The alternative coins are not spared either with many of them recording significant dump. DOGE and AVAX are the only coins among the top ten cryptocurrencies trading in the green region at press time.
Many of them have recorded serious loss with Ethereum among the most substantial losers. ETH had neared $3,700 last week but dropped all the way down to $2,650 hours ago. Despite bouncing off from this $1,000 price slump, the second-largest cryptocurrency still stands below $3,000 at press time.
Binance Coin, which peaked above $500 earlier in September, is now down to $360. Solana, among the most impressive performers in the past month, has dropped by another 6% and stands below $135. Polkadot (-4%), Terra (-1.5%), Uniswap (-5.5%), and Chainlink (-4%) are also well in the red.
Cardano, Ripple, and Polkadot have stalled since yesterday, while Avalanche and Dogecoin is the only larger-cap alt with impressive gains. AVAX is up by 4.5% in a day to $65.
Mid and Lower-cap altcoins OMG Network, Celo, NEAR Protocol, Harmony, Audius, Cosmos among others are also trading in the red region.
However, THETA, EGLD and AXS are the other altcoins after DOGE and AVAX in the top 100 cryptocurrencies trading in the green region.
Ultimately, the crypto market has lost around $400 billion since the weekend high and is currently at $1.7 million.