Bitcoin has started the day posting losses. At press time, the largest cryptocurrency by market cap is trading at $16,683.58 (-11.98%), according to CoinMarketCap.
Chart of the USD/BTC trading pair from EXANTE
For its part, Ethereum has fallen to $491.04 (-17.49%), while XRP has dropped by 28.05% and is now trading at $0.493.
FxPro's team of analysts say:
"Bitcoin has lost almost 5% over the past 24 hours and is currently trading at around $18,000. Therefore, the crypto market is still entering a correction phase. This cannot be considered as a collapse, as the fall is still quite moderate compared to the growth rates registered recently.
The question that most concerns market participants at the moment is when will the Bitcoin buyback start. The answer to this question will also be an important turning point for altcoins. After posting a hundred percent growth over the past week, practically the whole altcoin market is in red.
However, the total market capitalization remains at $530B, which shows the rate of decline is still lower than the recent growth scale. Retail investors will be eagerly awaiting a rebound in altcoins until they reach at least half of recent gains, a point at which buybacks are likely to begin.
In spite of the fairly significant decline in Bitcoin, the greed and fear index has only dropped one point over the past day to 93, which corresponds to the 'extreme greed' area and still suggests the possibility of a correction. The current situation is seen as a 'bull trap' by crypto market participants, suggesting that Bitcoin could fall to $16,500, and then surge to $21,000-22,000."
According to CoinMarketCap’s ranking, 9 currencies on the top 10 are in red.
As for the market cap of all currencies listed in CoinMarketCap, it stays at $496,922,196,487.
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