Bitcoin falls in crypto rout but holds $6,200 support level
Bitcoin and its rival cryptocurrencies experienced some heavy selling again on Tuesday after a brief rally seen in recent sessions.
While bitcon – by far the largest of the cryptocurrencies by market capitalisation – fell nearly 4% on Tuesday, it crucially maintained the $6,200 level at which it has found support in the last few weeks.
Ken Chigbo at FXStreet wasn’t optimistic about the short-term indications for bitcoin, however.
“Bears appear to be on a mission to takeout the very key near-term support,” he said. “Price action has been supported since the back-end of June, by an ever so gradual ascending trend line.”
“The market bears have already tested this line on several occasions, however the pressure has intensified through the month of September, raising its vulnerabilities to a break lower,” he added.
Ethereum, one of the most volatile of the top 10 crypto tokens in recent weeks, fell sharply again on Tuesday. Its losses have sharpened as investors await a couple hard forks that look likely to change consensus algorithms.
The ether sell off has also been exacerbated by suggestions of tech startups eager to cash out on the proceeds of their initial coin offerings – the majority of which have been conducted over the Ethereum network.
Price round up
Here’s a round up of the price movements of the top 10 cryptocurrencies at 11.15am [London time]:
- Bitcoin -3.5% at $6,359
- Ethereum -11% at $197.30
- Ripple -2.5% at $0.27
- Bitcoin cash -7.5% at $415.32
- Eos -10.6% at $4.85
- Stellar lumens -5% at $0.20
- Litecoin -8.2% at $51.56
- Tether flat at $1
- Monero -10.6% at $106.43
- Cardano -7.7% at $0.06