After hitting its new 2019-high close to $14,000 levels on Wednesday, Bitcoin price underwent a major pullback losing nearly $1.8K in just a few hours and is currently trading around $12,200 levels.
Over the last seven days, Bitcoin has been on a massive bull run giving nearly 40% returns. From $9200 levels last week, Bitcoin price surged all the way close to $14000 levels hitting its new 2019 high. As per the daily chart on CoinMarketCap, Bitcoin went all the way to making a high of $13,793 before retracing back.
If you look at the weekly chart for Bitcoin, you can see that BTC price for rising for the eighth straight session. As we can see, Bitcoin also continues to extend its dominance in the overall crypto market. At the press time, Bitcoin is trading at a price of $12,294 with a market cap of $218 billion. At present, Bitcoin dominates nearly 63% of the overall cryptocurrency market cap.
However, on Wednesday, soon after Bitcoin price crossed $13,700 it lost nearly $1.7k in a few hours. Bitcoin dropped all the way to $12,200 levels and is showing some signs of consolidation.
Besides, the daily trading volume has reached a massive $42 billion indicating a very high level of blockchain activity on the Bitcoin network. Citing such high inrush of crypto investors, a number of crypto exchanges reported an outage on Wednesday.
Crypto Exchanges Experience Outage
Soon after Bitcoin crashing by $1,700, popular crypto exchange Coinbase experienced an outage on Wednesday. As a result, both its website and API were temporarily inaccessible. While the Coinbase’s status page shows things to be working fine now, it earlier reported an outage for its API, mobile apps, and website noting that its internal systems, however, were working fine.
On the other hand, popular trading app Robinhood also reported issues with its cryptocurrency trading services. At 20:45 UTC on Wednesday, the platform was rendered inaccessible on both the desktop as well as the mobile browsers.
As per the data presented by BitMex, the BTC price crash was accompanied by trading volumes of nearly $250 million in the initial five minutes which later extended to $690 million traded volumes in the next 15 minutes.
Where’s Bitcoin Headed From Here?
Well, Bitcoin has been on a massive bull run since April 2019. In just last three months, Bitcoin has delivered nearly 250% gains with constant upward movement. After a week of bull run, Bitcoin lost over $1700 in a matter of few hours on Wednesday. This has got the crypto community talking about in which direction is Bitcoin likely to move from here.
Popular crypto trader Josh Rager said:
“18% pullback on the $BTC day chart. If Bitcoin price pulls down to the mid $10ks… (20+%) I’d consider this a big pullback prior to continuation. At this point in time, I consider Bitcoin extremely bullish. 18% pullback might be the new 30% pullback we’re expecting.”
Travis Kling, chief investment officer at Ikigai Asset Management, notes that Bitcoin is likely to undergo a 30% pullback from $13K which will push its price close to $9000 levels. He added:
“Given this price action, now is a good time for a reminder: BTC is going to pull back. It often does so in savage fashion. There have been 12 pullbacks of >30%. 6 of those have been >70%. Another pullback will undoubtedly occur. Could happen tomorrow. Keep your wits about you.”