The sudden bitcoin and crypto sell-off, coming alongside some serious stock market declines, follows a warning made by famed investor Louis Navellier that widely-expected Federal Reserve “tapering” could burst the bitcoin and crypto bubble.
Mr. Navellier, who’s been watching markets and picking stocks since the 90s said:
“The Fed is tapering, and this should create a correction in risk assets, of which bitcoin is a part,” Navellier wrote in comments first reported by Insider. “The more the Fed tapers, the more volatility we should see in both stocks and bonds—and yes, bitcoin, too.”
“I would take a decline below $46,000 (the 200-day moving average) to be a yellow flag and a decline below the spring low of $28,500 to be a completed massive double top which points to a decline to below $10,000, which incidentally would match many of the multiple 80%+ declines in its storied history.”
Along with USA Federal “tapering” there are also different speculation related to the future of cryptocurrencies in India which is making the crypto market unstable.
Also, Evergrande Group’s under $310 billion in debt struggle to comply with official pressure to reduce debt has fueled anxiety that a possible default might trigger a financial crisis. Economists say global markets are unlikely to be affected but banks and bondholders and undeveloped markets like crypto might suffer because Beijing wants to avoid a bailout.
The latest Covid-19 variant was identified on Nov. 25 by scientists in South Africa and has since been detected in more than 20 countries, including the U.S., which reported its first case on Dec. 1st is also the cause of Global market fall.
Such uncertain marker conditions have made global crypto market capitalization witness a fall of 9.21 percent with a total market capitalization of $2.13 trillion, While the total crypto market volume is $137.47 billion according to coinmarketcap.com.
Bitcoin (BTC) was trading at $46785 with a fall of -17.500 percent in the last 24 hours.
The second-largest coin by market cap Ethereum (ETH) falls -17.34 percent in the last 24 hours and was trading at $3740. The price of Binance Coin (BNB) fell over -15.21 percent in the last 24 hours and was trading at $531. Solana (SOL) fell -21.2 percent in the last 24 hours and was at the fifth position in the coinmarketcap.com list; it was trading at a price of $182.
Like mainstream coins, all major meme coins such as Dogecoin (DOGE), Shiba Inu (SHIB), Dogelon Mars (ELON), and Floki continued to fall in the last 24 hours, according to coinmarketcap.com.
Top meme coin by market value Dogecoin fell -26.3 percent in the last 24 hours and was trading at $0.1572, while Shiba Inu witnessed a fall of -20.3 percent in the last 24 hours and was trading at $0.00003244.
Dogelon Mars (ELON) has fallen by -25 percent in the last 24 hours and was trading at $0.000001001.