Bitcoin and Altcoins Slump, Wipes USD 500+ billion Market Value

Bitcoin failed to recover and remains in a major downtrend from the USD 10,000 high. The price slumped below the USD 6,500 level and tested USD 6,000.

Similarly, altcoins declined heavily to trim more than USD 500 billion of value from the cryptocurrency market. It is one of the deadliest declines of all time in terms of the market cap, and it seems like the current drop is far from over.

Ether followed bitcoin’s path and weakened by more than 60% to trade below USD 700. It is down by roughly USD 700 from the all-time high. ETH/USD even traded below USD 600 earlier today and formed a low around USD 570.

The price is currently trading near USD 650. There are a few signs of a short-term recovery, but a substantial bounce won’t be easy. On the upside, resistances are aligned near USD 700, USD 720 and USD 750.

The third largest cryptocurrency ripple is down by more than 75% from its record high of USD 3.80. XRP/USD traded toward the USD 0.60 level and is currently trading at USD 0.66. Intraday losses are about 18% and it could extend further if the price fails to recover above USD 0.75.
Overall, the cryptocurrency market is in deep red and events such as China banning international exchanges and ICO’s, rumors of ban in India, major banks in the UK blocking bitcoin transactions using credit cards, and tether worries are adding fuel to the fire.

BTC/USD is down by more than 18% and is currently trading near USD 6,500. On the downside, there is a major support at USD 6,000. A break below USD 6,000 could push bitcoin price towards USD 5,000, which is a major support.

To the topside, an initial resistance is at USD 7,000. Above the mentioned USD 7,000, the price is likely to move towards the USD 8,000 barrier. Any further upsides could be limited considering the current market condition.

In the other altcoins arena, LTC/USD briefly tested the USD 100 level and is currently down by 21%. NEO/USD also declined heavily and broke the USD 100 and 80 levels to challenge the USD 65 support.