Ethereum has reached highs of over $ 4,000 today, and Bitcoin made another attempt at over $ 59,000. In a two-hour period, both coins deleted 10% of their value. Ethereum fell below the key level of $ 4,000. So what does this situation mean? Is the recent decline a sign that production is reversing, or are these strongly trending entities taking positions for a new rally?
Bitcoin and Ethereum fell hard
While Ethereum was experiencing one of its most productive months in terms of return on investment, Bitcoin struggled to maintain high levels. The last altcoin season has been particularly fruitful, carrying Dogecoin for almost a dollar and Ethereum above $ 4,000. While Bitcoin is consolidating, these altcoins make the cryptocurrency’s recent work a child’s play in terms of return on investment. However, most of that ROI was erased within minutes.
What does the drop mean?
In the shortest time frames, the only thing left in both BTC / USD and ETH / USD was a long bad candle. Currently, the daily decline in both crypto assets seems to be. However, there is a possibility that this break is a bear trap. The crypto space has undoubtedly been in a full bull mode for a while. Therefore, there is a possibility that a fix is also delayed. Most individual assets have appreciated significantly since New Year’s Eve. Markets were already expecting a recovery from the participants’ point of view. On the other hand, the current greed and enthusiasm was at the highest level of recent times. An unexpected correction could make the bulls out of breath and wonder what happened?