Veröffentlicht: 16.02.2020

The correction hits the crypto market

Bitcoin falls below 10000 USD

After the support area at 10200 USD had to give in to the pressure of sell-offs, the BTC price falls below the magic 10000 USD mark within a very short time. During the downtrend, the “digital gold” even reaches a low of 9730 USD. The price crash of just under 700 USD shows how volatile the crypto market is.

BTC price in detail

After three futile attacks on the resistance at $10,500, the BTC consolidated around $10,200 on Saturday before dropping below the $10,000 mark on Sunday. From a bearish perspective, hopes are now pinned on the long term support level of 9750 USD to continue to hold. However, if the dump is merely an overdue correction, new attacks on the five-digit dollar range are imminent. The 24-hour volume remains at a high level, at around USD 44 billion.

BTC Dominance Index recovers slightly

The Bitcoin Dominance Index rose by a full percentage point in the past 24 hours and now stands at 62.0%. Accordingly, Bitcoin is increasingly moving into the focus of investors. This is, however, no surprise at the current market value, especially since the 10000 USD limit is considered one of the most important psychological milestones. The hype of the past weeks washed new money into the crypto market. Currently, the total market capitalization is around USD 291 billion.

Altcoins fall even more sharply

Many Altcoins are confronted on Sunday with severe losses in the double-digit percentage range. The Bitcoin Forks Bitcoin Cash (- 10.31 %) and Bitcoin SV (- 12.94 %) are hit particularly hard. Ethereum distances itself from the USD 300 mark with a daily loss of just under 5%. After a bullish price rally, however, such price corrections are normal. With a price gain of 5.27%, Chainlink delivers the best performance among the top 100. With a market cap of approximately USD 1.6 billion, the decentralized Oracle service now ranks 12th in the crypto charts.

Is volatility rising?

A glance at the Altcoin charts of the past few days shows that daily price fluctuations of over 10% are no longer a rarity. Volatility has returned to the market and many traders sense their chance for quick profits. Volatility is derived from the Latin word “volatilis” and means something like “flying” or “volatile”. In economics, the term refers to the standard deviation of changes and is often used as a tool to determine the measure of risk. In the crypto world, volatility is an important measure of how the value of an asset changes over time. The current BTC volatility index of the past 30 days is 2.21%. In order to classify this value, it is worth comparing it to gold. The volatility value of the precious metal is currently around 1.2%. Due to the low market capitalisation it is normal that the old coins fluctuate more strongly. An unnatural outbreak, however, cannot be observed at present.

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