8% drop in the value of the crypto economy shakes billions, blamed on new Covid variants – market update Bitcoin news
In the past 24 hours, the value of the crypto economy has fallen by 8% due to the sharp drop in the price of a large number of crypto assets during the overnight trading session. The value of the cryptocurrency market lost more than 22 billion U.S. dollars, and the leading digital currency in the top 20 lost 6% to 20%.
The global market is in panic due to the B.1.1.529 variant
The global market is shaken today as headlines declare that a new variant of Covid-19 called B.1.1.529 is spreading outside of South Africa.It is said that the B.1.1.529 variant is more contagious than the Delta variant, and it is said to have approximately 30 mutationsAs soon as the headlines came out, markets in almost every country in the world began to fall, and investments related to the oil and gas industry plummeted. For example, the international benchmark price of a barrel of Brent crude oil fell by 5.3%.
On Friday, economist and Bitcoin advocate Alex Krüger tweeted about how the new variant is disrupting global markets. “Today the global market is shocked by this new Covid variant,” Kruger Said“A major move in the global market. Growth stocks are frustrated, crude oil is falling, interest rates are falling, and technology stocks are reintroduced. Traders believe that the possibility of re-blocking is higher when liquidity is low. It doesn’t matter, there is no Covid in the meta universe,” this An economist added.
The exit of the crypto economy worth $22 billion leads to a “downward trend” accumulation
During the overnight trading session on Thursday and the morning trading session on Friday, the value of the crypto economy fell by 8%. On Thursday at 11:00 PM (EST), Bitcoin (Bitcoin) At a price of more than $58,000 per unit, but by Friday morning, Bitcoin Change hands at a price slightly higher than US$54,000 per unit. Bitcoin has fallen by 7.9% in the past 24 hours, and its market value is slightly above the $1 trillion mark. Ethereum (Ethereum) Fell by 9.4% on the last day, and the exchange price of each ether on Friday was slightly higher than $4,000 per unit.
The existing more than 11,000 cryptocurrencies have lost more than 22 billion U.S. dollars in value, and today the global trade volume is approximately 200 billion U.S. dollars. Stable currency transactions accounted for more than half of the recorded transaction volume, and the 24-hour stable currency transaction volume reached 115.1 billion U.S. dollars. On Friday, Du Jun of Huobi Global shared some information with Bitcoin (Bitcoin) Current status.
“According to data from Huobi Global, Bitcoin It has continued to fall since the early trading, and the momentum rebounded sharply in the afternoon, quickly falling to 54,500 points. “Huobi Global analyst said. “The daily decline has exceeded 4000, and it is still falling. The current position has broken through the lowest point of the previous round of decline at 55500.In the long run, the downward trend Bitcoin The price has not changed, and a new round of downward adjustment has arrived. The analyst added. Du Jun’s outlook further pointed out:
Judging from the 4-hour K-line, the transaction volume has increased significantly, exacerbating the changes in Bitcoin prices. The price crossed the Bollinger Band and the EMA line turned down, and DIF significantly crossed DEA, forming a sell signal. It can be expected that the short-term downward trend will weaken or even adjust horizontally, but the long-term downward trend will remain unchanged. Judging from the daily chart, today’s Bitcoin price has jumped out of the horizontal adjustment of the past week, forming an obvious linear response to the downtrend one week ago, which means that the adjustment of the Bitcoin price last week is only accumulating a downtrend. In the short term, pay attention to the extent of price corrections.
Institutions and the fear of coronavirus
Alex Kuptsikevich, senior market analyst at Fxpro, also explained how the global market turmoil has put pressure on the cryptocurrency market. Kuptsikevich explained to Bitcoin.com News in a market update report sent on Friday: “Due to institutional hobbies, Bitcoin is vulnerable to risky asset exits when selling everything, regardless of the outlook.”[Bitcoin’s] Severe selling risks will drag down the entire cryptocurrency. From a different perspective, retail investors have reacted to buying cryptocurrencies based on concerns about the coronavirus, and WHO is discussing new virus variants and restrictions on air travel,” Kuptsikevich added. Fxpro analysts concluded. road:
This means that true crypto enthusiasts and long-term crypto investors may consider buying it in the severe downturn of the exit of traditional financial institutions.
What do you think of the current status of Bitcoin prices and the crypto economy? Please tell us your thoughts on this topic in the comments section below.
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