In Stunning Crash, Bitcoin Wipes Out December Gains Then Rebounds $2,000 In 7 Minutes

First thing this morning, we documented the drama unfolding across the cryptoverse where virtually everything is in free fall.

Specifically, Bitcoin had fallen some 30% from the highs hit last weekend ahead of the CME futures launch and is on pace for its worst week since 2013, while bitcoin cash, ethereum, and litecoin are all under extreme pressure as well.

Here’s a fun heatmap:

Heatmap

Well, I hate to tell you this, but since this morning the bottom has fallen out.

There for a minute, it actually looked like Bitcoin was going to break below $10,000 on Coinbase after a sudden sharp move to the downside:

BitcoinCoin

Do note that this morning’s action had, at one point, nearly wiped out the entirety of December’s gains:

BitcoinCoin2

And have a look at what it’s doing now:

Bitcoin3

That’s a $2,000 swing in 7 minutes.

This, folks, is not how “a currency” acts. At least not one issued by a developed country.

Of course Twitter is lovin’ it:

Lambos

 

 

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4 thoughts on “In Stunning Crash, Bitcoin Wipes Out December Gains Then Rebounds $2,000 In 7 Minutes

  1. Heisy, this is awesome. A market driven purely by psychology, a case study in behavioral finance.

    I’m amazed it hasn’t dropped lower yet. Only possible explanation is that many people who bought >$10,000 don’t even know they’re getting crushed yet, it’s happening so quickly. I mean, who the hell is buying right now? Going into the end of the tax year with BTC still up a bazillion for the year? This is only the beginning.

    I had thought the fun would begin in earnest at 12:00:01AM ET, but clearly people are getting in their sales early in anticipation of just this crush. I now am willing to bet that the new year brings in a whole new round of buying, at least beginning a few days into the new year.

    Glad some speculators are getting flushed out here. Or maybe I should say “short term” speculators, since this is definitely not investing!

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