Bitcoin in Freefall – Tumbles to Three-Month Low Amid Coinrail Hack Saga
Bitcoin, the number one cryptocurrency, is currently in freefall as it continues its losing streak for the third consecutive day. However, the decline recorded today, June 10, 2018, has seen Bitcoin reach a three-month low.
10 Percent Slide in 24 hours Takes Bitcoin Below $7,000
Bitcoin began the day trading at about $7,600 according to CoinMarketCap. At the time of writing this article, BTC price has fallen to $6,700, losing almost $1,000 in less than 24 hours. This decline is the most significant drop in Bitcoin prices since the middle of March. This latest price decline brings the total BTC price loss for 2018 to 53 percent.
Bitcoin isn’t the only major cryptocurrency experiencing a massive dip. In fact, all top 10 digital currencies, according to CoinMarketCap, have all recorded percentage losses in double digits within a single trading day. At the moment, Ethereum, EOS, and TRON are among the biggest losers today. Litecoin is in danger of dropping below $100 for the first time since December 2017.
Coinrail Hack or Price Manipulation
Reports recently emerged that Coinrail, a South Korean cryptocurrency exchange platform was hacked. Coinrail put out a statement on its website saying that it has taken steps to freeze all affected coins. The company also announced that its digital currency holdings were securely held in cold wallets. However, given the relatively small size of the platform compared to giants like Binance, OKEx, and Coinbase, it is unlikely that such an incident should trigger such a massive coin dump.
해킹공격시도로 인한 시스템 점검중입니다. 일부코인(펀디엑스,NPXS)이 확인되었으며 추가적인 코인피해가 있는지 여부를 확인중입니다. 추후 자세한 사항은 재공지하겠습니다 / There has been an cyber intrusion in our system. We're confirming it and some coins(Pundi X, NPXS) are confirmed.
— coinrail (@Coinrail_Korea) June 10, 2018
Then there is the issue of the price manipulation. In May 2018, reports emerged that the United States Department of Justice (DOJ) and the Commodity Futures Trading Commission (CFTC) were collaborating to investigate suspected Bitcoin price manipulation activities. Sequel to this, the U.S. government has asked four major cryptocurrency exchange platforms to hand over comprehensive trading information.
Latest Dip Goes Against Predicted Technical Rebound
Robert Sluymer, the Chief Technical strategist at Fundstrat, recently declared $7,000 as the BTC bottom price. He also said that some positive technical trends were developing that could see Bitcoin prices begin to rally. Most of the analysis in the past few weeks from expert commentators have been about positive short-term indicators.
Based on the price movements of the last three days, it is clear that BTC is in the midst of a bear run. All eyes will be on the market to see how events unfold in the next few days.
How far do you think BTC prices will fall before the next price rally (if any)? Share your views with the community in the comment section below.
Images courtesy of CoinMarketCap, Shutterstock