After soaring and setting a new record above $24,000 on some major exchange platforms, the price of Bitcoin has fallen more than 5%. The correction seems to play into expectations several market players had of the king coin. These expectations were further reinforced as Bitcoin continued its descent, crashing past $23,000 and slowly inching close to $22,000. Many are now nursing the fear that Bitcoin could plunge further.
Earlier today, Bitcoin lost more than $1,800 and hit $22,256. Generally, many do not view the correction as strange. Retracements like this are quite typical in the crypto sector, especially shortly after a considerable pump in the price of a crypto asset. Specifically, Bitcoin has pulled in more than 220% in gains for 2020. Consequently, several analysts believe that the retracement should have been largely expected as it was only a matter of time.
At press time, Bitcoin has climbed and is now trading at $22,849, according to data from CoinMarketCap. Although its day’s loss is close to 4%, it has gained over 19.5% over the last seven days.
Altcoins are currently not fairing much better. Ethereum fell by 7.49%, XRP by 12.24%, and Litecoin by 13%. These plunges come as several countries are reintroducing COVID-19 restrictions as the second wave spreads.
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