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Markets: Bitcoin drops below $8,800 altcoins tumble

The enthusiasm that had driven Bitcoin ( BTC ) and altcoins earlier this month seems to have dissipated.  BTC fell below $8,800 on Wednesday night. Altcoins are also in poor shape during the week, in a rather gloomy international context.

Bitcoin in the red zone

The fall in the price of Bitcoin was started on February 24. It seems that the largest cryptocurrency has failed to stop since it exceeded key support levels: $9,000 first, then $8,800 last night. 

The challenge now is to manage to stay above $8,700, but it’s a gamble. At the time of writing, BTC is valued at $8,783.

 Over the last seven days, this corresponds to a drop of -8.64%, and -4.62% over the last 24 hours.

courtsey coinmarketcap

In the markets, altcoins are also falling

The fall of BTC logically involves in its fall altcoins, which plunge even lower than it. Over the week, the Ethers ( ETH) lost -14.20%, even if they manage to stay above 220 dollars for now. Ripple (XRP) losses are over -15%, and the biggest drop is yet recorded by Bitcoin SV ( BSV) at -22.49%.

But it is closely followed by Tezos (XTZ), which erases part of its good progress in February, at -22.36%. For now, Eos (EOS) is doing the best, at “only” -10.42%.

The global market cap for cryptocurrencies reflects these falls: on the morning of February 27, it barely exceeded $250 billion, while it approached $ 290 billion on February 24.

A gloomy international economic context

This gloom is not reserved for the Bitcoin and altcoin markets. Internationally, the consequences of the coronavirus and the surrounding anxiety have also influenced traditional markets.

 As of this writing, the Dow Jones and the S&P 500 are in the red. Oil production has also slowed internationally, firstly because of Chinese refineries, which are less efficient than usual, but also because of emerging tensions between Russia and Saudi Arabia.

All of this shows one thing in any case: in an uncertain financial context, Bitcoin does not necessarily fulfil its role of “safe haven”, no offence to those who consider it as digital gold.

Gold meanwhile showed an increase of + 0.34% over the last 24 hours. The days to come will tell us if the markets manage to recover from this fall and start rising again.

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