Flagship cryptocurrency Bitcoin has taken a tumble below its psychological support level of $10,000 just nine days after it struck year-to-date highs at around $13,900.
The coin, which is now trading at $9,827 on the Luxemburg-based crypto exchange Bitstamp has wiped out its weekly gains and most of the gains from the last month.
The coin has fallen to a low of $9,713 over the last few hours representing a weekly loss of 13%. The coin is, however, up a little over 13% month to date after losing more than $4,000 since its yearly highs posted on June 26th.
Bitcoin is down about 10% in the last 24 hours with reported trading volume at about $28.9 billion. The “Real 10” reported trading volume according to Messari is about $2.7 billion.
The overall market cap for the cryptocurrency market as tracked by Coinmarketcap has fallen below $300 billion currently holding at around $291 billion. Bitcoin market dominance is still well over 60% meaning that the altcoin market has taken a tumble as well, despite the fact that the altcoin market lagged behind when Bitcoin’s price went on a parabolic price rally.
Some analysts have pointed out that the latest market correction is healthy and gives investors the opportunity to buy Bitcoin at four-figure levels (probably for the last time). Popular crypto trader Josh Rager called the latest fall below $10K for Bitcoin a “gift” at least in the short term.
In his July 1st market commentary, eToro Senior Market Analyst Mati Greenspan said he did expect a market pullback and said that he anticipated the bitcoin price to fall below $10K.
“Many have named the psychological support level of $10,000 as the key level of support but personally, I’d be quite surprised if it holds that level,” he said.
The overall market is in the red with several altcoins posting losses in the 5-10% range. Ethereum, the leading altcoin and second-largest coin by market cap is down about 6% since yesterday and is currently exchanging at about $277 against the US dollar. Litecoin, the second biggest loser in the top 20 coins list on Coinmarketcap is down about 7.8% and is trading at $114.