Why Bitcoin Just Dropped Below $6900 in Abrupt Drop, Risking a Big Fall

Story by: Nick Chong

Bitcoin (BTC) has just lost the key support of $7,000 after trading above this level for over a week. This marks the first bout of volatility the cryptocurrency market has seen in weeks and, as such, may imply that a larger move in the downward direction may take place in the coming days.

Bitcoin Drops Below $7,000 as Bears Apply Pressure

After holding $7,000 for weeks, Bitcoin on Monday morning (PST) fell under $7,000 is a strong spike lower, falling from $7,100 to as low as $6,820 in 15 minutes’ time. Data site Skew Markets suggests that $40 million worth of BitMEX longs were liquidated in this strong move to the downside.