Bitcoin price crash sees hundreds of billions wiped from crypto market

Ethereum, Binance Coin, Cardano, Solana and Ripple also suffer flash crashes of 5-15 per cent

Anthony Cuthbertson
Wednesday 27 October 2021 10:05
Comments
Cryptocurrency expert makes $250,000 Bitcoin price prediction
Leer en Español

The price of bitcoin has crashed on Wednesday morning, dropping by thousands of dollars in the space of just a few minutes.

The cryptocurrency fell below $59,000 following the flash crash, down more than $5,000 from the levels it was trading at earlier this week.

The latest price drop comes less than a week after BTC hit a new all-time high of close to $67,000.

Follow The Independent’s live coverage of the crypto market

Blockchain data suggests today’s price crash is partly fuelled by long-term holders taking some profits, which typically happens after bitcoin hits a new all-time high.

Any sudden dip in price of more than a couple of per cent can trigger panic selling from crypto investors, though severe dips also typically attract new buyers.

“Am I the only one who gets excited by little mini dips in a bull market?” one investor wrote on Twitter. “Just buy the dip. Little flash sale.”

Another wrote: “Buy the dip, thank me later.”

Flash crashes seen earlier this year were followed by record-breaking bounce backs, with some crypto analysts predicting new all-time highs before the end of 2021.

View more

Several other leading cryptocurrencies also tumbled in price, with Ethereum (ether), Binance Coin, Cardano (ada), Solana (SOL) and Ripple (XRP) all falling by between 5-15 per cent.

The overall crypto market fell below $2.5 trillion – more than $200 billion down from earlier this week.

The only cryptocurrency with a market cap above $20 billion to see any gains was the meme coin Shiba Inu. The dogecoin spin-off has doubled in price in the last week and bucked market trends on Wednesday to rise a further 20 per cent.

The price surge appears to be driven by speculation that it could be listed on popular trading app Robinhood.

Register for free to continue reading

Registration is a free and easy way to support our truly independent journalism

By registering, you will also enjoy limited access to Premium articles, exclusive newsletters, commenting, and virtual events with our leading journalists

Please enter a valid email
Please enter a valid email
Must be at least 6 characters, include an upper and lower case character and a number
Must be at least 6 characters, include an upper and lower case character and a number
Must be at least 6 characters, include an upper and lower case character and a number
Please enter your first name
Special characters aren’t allowed
Please enter a name between 1 and 40 characters
Please enter your last name
Special characters aren’t allowed
Please enter a name between 1 and 40 characters
You must be over 18 years old to register
You must be over 18 years old to register
Opt-out-policy
You can opt-out at any time by signing in to your account to manage your preferences. Each email has a link to unsubscribe.

Already have an account? sign in

By clicking ‘Register’ you confirm that your data has been entered correctly and you have read and agree to our Terms of use, Cookie policy and Privacy notice.

This site is protected by reCAPTCHA and the Google Privacy policy and Terms of service apply.

Join our new commenting forum

Join thought-provoking conversations, follow other Independent readers and see their replies

Comments

Thank you for registering

Please refresh the page or navigate to another page on the site to be automatically logged in