November has been the worst month for bitcoin and other cryptocurrencies with the price of bitcoin falling more than 40% in just a month. The price of bitcoin as always has pulled down the prices of other cryptocurrencies with it.
Bitcoin and November
Bitcoin was trading around $6500 on the start of November before the crash started bringing down the price to a yearly low of $3550. Bitcoin has experienced similar crashes before as well but the current crash is being considered as the strongest crash ever falling around 45%. The title was earlier achieved by April 2011 when bitcoin fell down 39% and people started to call bitcoin a bubble and a fraud.
Not only the price but the market capitalization of bitcoin also fell sharply from around $113 at the start of the month to just around $70 billion now. The major support of bitcoin when it was trading above the $6000 range was between $5800 and $5900. Once this support was broken, it was quite easy to bring the price down below to less than $4000 as there was no other strong support in between. After reaching $3550, once bitcoin started to correct analysts were predicting that the low was still not achieved even after bitcoin crossed $4000 again. According to analysts bitcoin’s low will be around $2500 which was not yet achieved and maybe bitcoin can head towards that soon. Also, other prominent people such as Vinny Lingham, the founder of Civic Blockchain have predicted that the market will stay bearish for months starting from now.
Ethereum, the 3rd top cryptocurrency by market capitalization also fell massively from $200 to around $100 which is around 50%.
What’s ahead?
Bitcoin is currently trading around $4197 according to CoinGecko after recovering back from yesterday’s low of around $3950. Bitcoin price can likely fall down and test the support near $3500 once again as bitcoin price seems to be repeating the 2014-15 market patterns when bitcoin was quite bearish. Analysts are predicting losses in the coming time and if the support around $3500 is broken this time, bitcoin may fall below up to $2500.
