For no immediately apparent reason, Bitcoin just dropped $400 from $7350 to $6950 in the matter of a few minutes.
While the cryptocurrency is no stranger to volatility, this kind of sudden unexpected crash is highly suspicious.
Some have speculated that news from Shapeshift introducing mandatory membership and customer information may have affected the price but considering Bitcoin’s global prevalence its unlikely a single market player could have such a large effect.
The majority of technical analysis recently has predicted a downside trend incoming over the next few days so a correction was not entirely unexpected but this is rather exceptionally fast.
$7,000 has been seen as a critical recovery threshold but it would appear that may already have been breached. It’s now likely a bearish trend will continue in a drawn-out fashion in the coming days.
However, the sudden downtrend could mean a quicker timeframe on a predicted recovery that should see BTC cross the $8,000 resistance level in the near future.
Ethereum (ETH), Bitcoin Cash (BCH), EOS, Litecoin (LTC) and Ripple (XRP) were even worse hit, suffering 10% dips each.