The price of the largest cryptocurrency crashed as it hits $52,000, its highest price in over three months.
Bitcoin lost over 10% of its value last week as it crashed from $52k and losing over $50B in its total market cap.
The crash in the price of Bitcoin could be a result of the increase in demand as more people tend to jump on the rally. The increase in the price of Bitcoin has caught so much attention among crypto enthusiasts, and more people are jumping on the train as a result of FOMO. Big players might have seen this as an opportunity to book some profit and get a better price as the market plunge.
Technically, the price of Bitcoin tried to break above the $50K resistance level, but buyers' momentum failed to hold above it, creating a false breakout to the upside. Price crashed from $52k to $43 in just a day, erasing over five (5) days rally. The price of Bitcoin is trading at $45 as at publishing time.
Bitcoin might create a new low this week if it breaks below $45k. The next support is at $40k, where the price rallied from a few weeks ago. Failure to find support at $40k, $38k is another strong support level where the price can rally from.
Ethereum, Cardano, Binance Coin, Doge, and Ripple also lost over 10% of their value last week. But, Polkadot gained over 5% last week as other cryptos crashed.