Markets go into freefall as Bitcoin drops by 11.6%; Chainlink, Binance Coin, Basic Attention Token resilient

The cryptocurrency markets went into freefall as Bitcoin dropped from $13,063 to $11,497, an 11.6 percent drop over the course of 19 hours. The altcoin market saw even greater damage, with the average altcoin losing 12.8 percent. Falling prices do not appear to be attributed to any major news.

The market is seeing double-digit losses across the board without any major attributable news. Bitcoin reported trading volume is up from July 9 values from $28.2 billion to $33.6 billion—a 19.1 percent increase.

Bitcoin price USD TradingView
BTC/USD by TradingView

Overall market capitalization took a major hit falling from $342 billion to $299, evaporating $43 billion in capitalization value.

Total Market Capitalization chart by TradingView
Total Market Capitalization by TradingView

Meanwhile, Bitcoin dominance remains at highs not seen since the 2017-2018 bull market. With dominance relatively unchanged this means that BTC dragged most of the market down with it.

Bitcoin Dominance by TradingView
BTC Dominance by TradingView

For a continued healthy bull trend, large drops to the downside are not abnormal. Bitcoin’s extreme volatility (compared to the traditional equities market) means that swings to both the upside and downside are expected.

Market bull Thomas Lee, co-founder of Fundstrat Global, summarizes this phenomenon:

Some may attribute this volatility to ‘major news,’ but the vast majority of announcements have a nominal impact on the Bitcoin price, despite what pundits and crypto publications may suggest.

Notable coins that weathered the drop were all product-related coins, including Chainlink (-4.67%), Binance Coin (-6.98%), Basic Attention Token (-6.95%), and Maker (-7.19%).

Of the top 10, the coins that saw the largest losses included the two major BTC forks Bitcoin SV (-18.98%), and Bitcoin Cash (-18.45%). TRON (-16.57%) also experienced abnormally large losses.

Realized price per Bitcoin continues to climb to make new yearly highs, which is the average approximate price each holder paid for their coins.

Realized Bitcoin price chart by Coinmetrics
Realized BTC price by Coinmetrics

On average, investors paid $5,233 for their coins versus the current market price of $11,497—meaning that the average hodler is still up 119 percent.

Bitcoin, currently ranked #1 by market cap, is down 11.19% over the past 24 hours. BTC has a market cap of $205.25B with a 24 hour volume of $33.72B.

Chart by CryptoCompare

Bitcoin is down 11.19% over the past 24 hours.

Filed Under: Altcoins, Bitcoin, Price Analysis, Price Watch, Technical Analysis, Trading

Mitchell Moos

Mitchell is a software enthusiast and entrepreneur. In addition to writing, he runs a non-profit that teaches people about the blockchain. In his spare time he loves playing chess or hiking.

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