The big sell-off of cryptocurrencies continues with huge falls in all 5 digital coins. Here are 5 reasons for the big fall.
The king of coins, bitcoin, is down over 33% and trades around $10,900 at the time of writing. The low so far has been $10,400 and volatility is raging, with a recovery reaching $12,000.
Support is at $11,900, but with current volatility, the line was easily broken. The breakout cannot be confirmed until the dust settles. Further support awaits at $8609 and $5409.
More: BTC/USD: Technical levels to watch after the big crash
CME circuit breakers were hit after BTC/USD dropped over 20%. These are the rules of the prominent exchange. Trading on bitcoin futures was introduced only on Monday. Allowing hedging both on the upside and the downside was supposed to make the cryptocurrency more stable. In general, the inclusion makes it more mainstream.
However, the mad moves continue. The triggering of the circuit breakers means that trading on options, including short options, will not be made available until trading at the CME resumes on Tuesday, after the long Christmas weekend,
Here is how it looks on the minute chart. BTC/USD has a whopping range of nearly $5000 today: from the highs of $15,297 to the lows of $10,400.
And here is the 30-minute chart showing all the madness today: