This week started off on a great note. Markets were up and traders started to get their hopes up that recovery may be in the works. However, today the crypto markets decided to flash crash, wiping over $20 billion in overall market cap in a single day.
To add insult to injury, there is no real cause for this downturn. There are some rumors about Goldman Sachs dropping their plans on opening a cryptocurrency trading desk, but that is no reason for a market crash of this size.
The good news, is this could be a bull trap as the short term trend for Bitcoin and other cryptocurrencies is bullish overall. Analysts now believe that November may be a key month for cryptocurrency where the prices may regain some of their positions.
Some of the biggest losers are: BitcoinDark which is down 20%, NEO Gas down 18%, Siacoin down 17%, PIVX down 16%, and EOS down 15%.
Some currencies which were able to somewhat hold their value through today are Dogecoin which is only down 2%, and Bitcoin which is only down 5%.
Surprisingly Bitcoin Diamond is up a whopping 140%! Just don’t let FOMO beat you down on this one.
We can only hope that the markets recover this week and Bitcoin can close at least above the $7,000 level. June, July, and August were supposed to be strong months for cryptocurrency but so far August was the only mediocre month. As Q3 comes to a close at the end of the month, we can only hope that Q4 will prove to be a stronger quarter for crypto overall.