Bitcoin (BTC) and the majority of cryptocurrencies are trading sideways this morning following a weekend of heavy losses.
Over the weekend, cryptocurrency prices experienced a sudden dip that wiped over $10 billion off the market. Bitcoin’s value dropped dramatically from slightly higher than $4,100 to a low of almost $3,700 in a matter of minutes. It has since recovered slightly and is trading sideways in the $3,760 range. Most of the top ten digital assets have also leveled out, including Ethereum (ETH), Litecoin (LTC), Bitcoin Cash (BCH) and Tron (TRX).
The dip means the market has lost almost all of the last weeks impressive gains but the majority of coins are still in the green over a seven day period. Bitcoin and XRP are both up by two percent since last Monday, with Ethereum, Litecoin, Bitcoin Cash and Tron each maintaining one percent gains. Losing 17 percent in a few hours, EOS was one of the most heavily affected by the dip. However, due to some huge gains made this past month it’s still trading up almost 22 percent since last Monday.
As is common following a devastating correction, analysts are forecasting a new low for the 2019 crypto market. Not everyone was shocked by this correction and many savvy investors who predicted now believe a further dip may occur.
Sellers will need to keep the price above the $3,700 support level to avoid further retracement to $3,500 or even $3,300. If support holds we could see a rebound to $4,100 but current sentiment may not allow this to happen. However, the next few months promise some key developments in the cryptocurrency market which should help to buoy up prices and attract new investment.