Cryptocurrency markets have lost considerable value since our last markets update three days ago. The entire digital currency economy of roughly 1900+ assets has lost $35 billion since then, and a great majority of cryptocurrencies over the last 24 hours are in the red seeing significant losses.
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Crypto-Markets Drop Significantly
Just when cryptocurrency fans thought things were getting better and many digital assets started slowly moving back up, digital asset prices plunged during the early morning trading sessions on September 5. For example, bitcoin core (BTC) values slipped from the $7,400 range at 5 am EDT, to the $6,900 area until 5:30 pm. Then again BTC prices slid another leg down to a low of $6250 around 11 pm, but values have since increased back to the $6,400-6,500 area. Bitcoin cash (BCH) markets on September 5, from 12-to-5 am were seeing BCH prices coast along at $630 per coin, but dipped to $560 at 7 am. Following this, BCH dived even further as prices had dropped below the $500 zone and the price right now at the time of publication is $517 per BCH.
The top cryptocurrencies have followed a similar path and most digital assets are down between 8-14 percent in just one day. Some virtual currency markets are down as low as 20 percent over the last seven days. Ethereum (ETH) markets on Bitfinex had a serious flash sale as 60,000 ETH were dumped during yesterday morning’s early trading sessions. A half an hour later another 70,000 ETH were exchanged on the trading platform. This decline has pushed the price of ETH down 20 percent as it now hovers at around $225 per coin. No one is quite sure what happened yesterday, and some suspect an ethereum-based ICO might have cashed out. Then there are the curious losses BCH, BTC, and all the other coins that suffered too. Some skeptics blamed the Goldman Sachs decision to put off its cryptocurrency trading desk, which seemed a bit outlandish to most traders.
Bitcoin Cash (BCH) Market Action
As we mentioned above, the price of bitcoin cash is trading at $517 per BCH, and markets are seeing some buying action after the oversold conditions set in. BCH markets are down 8.6 percent over the last 24-hours and 2.9 percent over the last week. The market valuation right now is $8.8 billion and trading markets have been swapping around $528 million over the last day. The top exchanges swapping the most BCH include Lbank, Okex, Coinex, Binance, and Bitforex. The biggest currency pair today traded for bitcoin cash is tether (USDT) with 43 percent of the BCH market share. This is followed by BTC (27.5%), USD (13.1%), ETH (9%), and QC (2.2%). Bitcoin cash is the fifth largest cryptocurrency by trade volume today above litecoin (LTC) and below eos.
Bitcoin Core (BTC) Market Action
Bitcoin Core (BTC) prices are hovering around $6,494 per coin at the time of publication with a market valuation of around $112.4 billion. 24-hour trade volume is about $6.24 billion on September 6, and digital asset volumes across the board have all seen an increase. Bitcoin core is the top cryptocurrency by volume over the last day, and BTC is down 7.4 percent over the last 24 hours. The top trading platforms with the most BTC volume include Bitflyer, Bitfinex, Binance, Bitmart, and Coinbase Pro. The dominant pair traded with BTC is tether (USDT) which captures 42 percent of trades. The following top four pairs with BTC include USD (33%), JPY (11.4%), EUR (5.3%), and KRW (2.8%).
The Verdict: Uncertainty Stings With All Eyes on Short Positions and the Silk Road Stash
Since our last report, we discussed the rise of BTC/USD shorts stacking up and coming close to the August high of 40,000 shorts. Well, since bullish signals never came to fruition, shorts have continued to rise exponentially and there are now BTC/USD 38,700+ short positions today. Ethereum shorts are reaching all-time highs as well, and even at a $225 price per ETH bears are betting heavily against the cryptocurrency.
The verdict today is of course far less positive than our last market’s update three days ago, and traders are much more skeptical. On social media, telegram channels, and Reddit forums most traders do not believe this dump had anything to do with some silly decision Goldman Sachs made. Further, many traders are wondering about the Silk Road coins that have been on the move and if they will be exchanged on the market like the last ETH flash sale.
Coincidentally, traditional currency markets, specifically the USD is showing a lot of strength against a wide variety of nation state-issued currencies. Moreover, most commodities like precious metals and oil markets have been incredibly bearish over the last 30-days. But over the last 24 hours, the USD strength has grown softer and spot gold and cryptocurrency markets could rebound in the short term.
Where do you see the price of BTC, BCH and other coins headed from here? Let us know in the comment section below.
Disclaimer: Price articles and markets updates are intended for informational purposes only and should not to be considered as trading advice. Neither Bitcoin.com nor the author is responsible for any losses or gains, as the ultimate decision to conduct a trade is made by the reader. Always remember that only those in possession of the private keys are in control of the “money.”
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The post Markets Update: Shorts Continue to Rise as Bearish Sentiment Ensues appeared first on Bitcoin News.
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