The Bitcoin price depreciates greatly. Where it will stop?

Bitcoin's price dropped 30%, Ethereum by 40%, and Bitcoin Cash declined by over 60% from a top-level local. After a relatively quiet period in the virtual money market, the best-known tools are losing ground. Could it be the end of virtual coins? How long could the depreciation continue?

• Bitcoin loses 30%, breaking a key level of support
• Bitcoin Cash has been a catalyst, but the causes of this decline are much more complex
• Ripple is the only major currency that seems to resist
• The 6,000-dollar threshold seemed to be a difficult to overcome, but it yielded

Virtual currencies are back in focus, but the current scenario is the opposite of last year's. We should not underestimate the consequences of breaking the technical support level from $ 6,000. Even though technical analysis has had moderate success in the virtual money market in the past, more and more investors are tracking graphics, making Bitcoin an important application area of major importance for the entire virtual currency market.

We'll start with direct effects. For Bitcoin, it was a technical move, after a long consolidation within a narrow triangular formation (which is usually a continuation formation), there was a break of 6,000 dollars in a period with a high degree of inertia, which is a clear signal. Normally, the longer the consolidation period, the further the later move, so the magnitude of the decline should not be surprising. The support level of 4900 dollars was easily exceeded, and the next significant level is 3,000 dollars.

Bitcoin has violently exceeded the support level from $ 6,000, the next major level being $ 3,000.

Bitcoin Cash division (fork) was just one of the factors

The Bitcoin price depreciation was determined by Bitcoin Cash. This tool is a by-product of the first division. It was assumed that Bitcoin Cash will be a more efficient version of Bitcoin, but recently, the misunderstandings between the two developer camps about updating the software have caused a new division. It was not the first or last situation of this kind, but this event focused on the challenges that are in the way of accepting virtual coins worldwide. It should be noted that in the past, Bitcoin resisted much more serious news: fraudulent coins or fraudulent IPOs.However, this news was hard to digest for investors at the time, which caused the decline.

Is this the end of virtual coins?

Of course not. Just today, some information has been published that two major institutions, IBM and Columbia University, will cooperate based on blockchain technology. It seems investors want facts and not talk, the Ripple price confirming this. In addition, RippleNet has begun to work with CIMB, a giant Malaysian bank, wishing to create an instant payment system. Though there are concerns about the huge offer for XRP, direct business applications give momentum to the price - Ripple is the only major currency that has managed to withstand the pressure and ricocheted from the support area at $ 0.40.

Ripple was quite resilient, rising from the support area at $ 0.40. This will allow for a growth movement.

For other currencies, business applications seem more elusive, making it hard for investors to boost coins - including Bitcoin. This makes traders use only the technical perspective as the best indicator of price dynamics.