Bitcoin slips below $60,000 for the first time in more than two weeks
Reuters
Published Nov 16, 2021 01:04AM ET
Updated Nov 16, 2021 08:41AM ET
(Reuters) -Bitcoin, the world's biggest and best-known cryptocurrency, slipped below $60,000 on Tuesday, taking losses from a record high of $69,000 struck on Nov. 10 to more than 12%.
Bitcoin was down 5% at $60,391.3 at 1253 GMT, after earlier falling as much as $58,563, its lowest since Oct. 28, while Ether, the second-biggest cryptocurrency by market value, was down 6.8% at $4,253.08.
Cryptocurrency analysts could not identify any particular news driving the falls, which they said seemed to be driven by profit taking after a recent sharp run-up.
Bitcoin has more than doubled in value since June, driven by the mainstream adoption of cryptocurrencies and the launch in the United States of futures-based bitcoin exchange traded funds.
And on Sunday it went through a major upgrade, called Taproot, that enables its blockchain to execute more complex transactions, potentially widening the virtual currency's use cases and making it a little more competitive with ethereum for processing smart contracts.
"The fall below 60,000, puts (Bitcoin) below the 62,000 support level, slightly into the 'short term' bearish zone," said Sylvia Jablonski, chief investment officer at Defiance ETFs in New York.
"The next key support level is 58,000, but I think it gets bought up here, and demand driven prices will begin to play out to the upside."
Most investors expect bitcoin to remain between $50,000 to $75,000 in the next 12 months, according to BofA Securities' monthly fund manager survey, while 59% believe bitcoin is in a bubble.
Jehan Chu, managing partner at Hong Kong blockchain venture capital firm Kenetic, said it could potentially break "the $100k level before year's end".
Money pouring into bitcoin products and funds have hit a record $9 billion so far this year, and totalled $151 million last week in their 13th consecutive week of inflows, data from digital asset manager CoinShares showed on Monday.
Although flows have been positive recently, volumes have been subdued in the second half, averaging $750 million daily versus $960 million in the first, the CoinShares report said.
Get The News You Want
Written By: Reuters
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.