Market Analysis: Bitcoin (BTC) Falls Over $1,000 in 24 Hours and Tests Support at $10,000, Crypto Market in the Red

July 1, 2019 / by Zachary Mashiach

The past week has been highly volatile for Bitcoin (BTC). After hitting a new 2019 high of $13,900 on Wednesday, Bitcoin (BTC) dropped to as low as $10,200 on Thursday before bouncing back above $12,000 on Friday and Saturday. However, Bitcoin (BTC) began a downtrend on Sunday that has continued through today. At noon and 4 p.m. Eastern time Bitcoin (BTC) dropped just below $10,000, although the $10,000 level has held for now and Bitcoin (BTC) has rebounded slightly to $10,400. In the past 24 hours, the price of Bitcoin (BTC) has dropped over $1,000, and in the past five days, Bitcoin (BTC) is down over $3,500.

The critical support level to watch is $10,000 since, if this is broken, then Bitcoin (BTC) could drop much more. Bitcoin (BTC) appears to have resistance at $11,000, $12,000, and $14,000. 

It appears the cause of today’s Bitcoin (BTC) bearishness is the re-initiation of trade talks between the United States and China. Apparently, the United States and China have agreed on no further tariffs for now and to try to negotiate an end to the trade war. This sent stocks soaring this morning, while safe-haven assets like Gold and Bitcoin (BTC) dropped. 

Bitcoin (BTC) is down $1,300 since the CME Bitcoin Futures expiration on Friday, and it will be important to monitor if this downtrend continues this week. Sometimes, but not all the time, the market trend for the first week after the CME Bitcoin Futures expiration determines the trend for the rest of the month. 

The rest of the crypto market is well into the red. Ethereum (ETH) is down 5.3% and trading near $285, Ripple (XRP) is down 2.1% and has slid below $0.40, Litecoin (LTC) is down 9.6% and is trading near $117, Bitcoin Cash (BCH) is down 3.8% and is trading near $400, EOS is down 1.4% and has slid below $6, Binance Coin (BNB) is down 3.2%, Bitcoin SV (BSV) is down 5.6% and has slid below $200, Cardano (ADA) is down 3.5%, Tron (TRX) is down 4%, Stellar (XLM) is down 4.1%, LEO is down 0.9%, Monero (XMR) is down 6.6% and is trading near $87, Dash (DASH) is down 6.8% and is trading near $151, Chainlink (LINK) is down 11%, NEO is down 6.4%, IOTA (MIOTA) is down 2.1%, Cosmos (ATOM) is down 7.1%, Ethereum Classic (ETC) is down 6.1%, Zcash (ZEC) is down 3.5%, and Dogecoin (DOGE) is down 5.1%. 

Notably, the Bitcoin (BTC) dominance percentage has dropped to 60.8% after being as high as 63.2% 5 days ago, indicating that on average the rest of the crypto market has been dropping less than Bitcoin (BTC). 

The total crypto market cap has declined $21 billion over the past 24 hours, dropping from $325 billion to $304 billion. Since the 2019 high of $387 billion on Wednesday the total crypto market cap is down $83 billion. That being said, despite the heavy losses over the past 5 days the total crypto market cap is still 204% above the bear market low of $100 billion in December.