The weekend has ended with Bitcoin retesting its support below $10K. Surprisingly, the market was looking healthy. The Bitcoin price crash below $10K was as a result of the $10,200 support failing to hold.
In fact, the optimism was not just a sentiment, Bitcoin liquidation has been at an all-time high. After the dip, BitMEX liquidated $96 million worth of BTC.
And speaking of BitMEX, was the XRP liquidation case finally put to bed? Tell us what you think in the comment section. Did the trader get his buttons confused or is the exchange running aa scam?
The Bitcoin price crash, however, could have been due to a simple dump expected this week. So, by far and large, this dump could have easily been predicted.
Smart investors will have sold their investment. They can later make an entry when the dump takes place, buying at a discount. For them, the Bitcoin price crash is a gift.
So what About The Dump?
Earlier in the month, US Marshalls announced that they would auction 4,000 BTC they confiscated from criminals. This dump will take place on the 18th of Feb.
So, its quite simple, investors expect that prices will drop but by trying to get ahead, sell orders have surpassed and led to a Bitcoin price crash ahead of the date.
In recent history, this was repeated, only this time, the $10K psychological position was in play and emotions are dictating market trends.
Bitcoin Price Crash Will Be Followed By Fireworks
Once BTC finds its support after the Bitcoin price crash. Then this will be a unique position that investors can use to accumulate more.
The market is still fundamentally strong. Technicals show that there are higher highs coming and all macro factors still pointing to BTC being the answer.
World governments continue to struggle with weakening economies; printing more money.
The Coronavirus is now looking unstoppable as it continues to spread and weaken China. An economy that is depended on by the world. Bitcoin is set to come out as the winner in all this.
A mere dump and Bitcoin crash of under 5% is a small bump in a long and prosperous journey.