Wednesday, May 11, 2022

Bitcoin price reclaims $30K as Bitcoin Cash hits fresh record low against BTC

Bitcoin SV joins the hard fork in posting dismal price performance as the dust settles on the Terra UST debacle.

Bitcoin (BTC) bounced back from ten-month lows on May 11 as the start of Wall Street trading gave bulls some relief.

BTC/USD 1-hour candle chart (Bitstamp). Source: TradingView

One day, $860 million more crypto liquidations

Data from Cointelegraph Markets Pro and TradingView showed BTC/USD erasing the impact of above-expectation United States inflation data, hitting $32,000 on Bitstamp.

April's Consumer Price Index (CPI) print has sent the pair into a fresh tailspin, with $30,000 giving way to levels not seen since July 2021.

As turmoil over Terra, its LUNA and TerraUSD (UST) tokens and co-founder Do Kwon continued, the mood remained firmly wary. The Crypto Fear & Greed Index measured sentiment with a normalized score of 10/100 on May 10, one of the lowest ever recorded.

Crypto Fear & Greed Index (screenshot). Source: Alternative.me

"Could go to $28,000 more or less," popular trader Crypto Ed forecast in his latest YouTube and Twitter update released before the CPI news, adding that he considered the downside "not finished yet."

The 24 hours to the time of writing meanwhile saw another $860 million in cross-crypto liquidations, data from on-chain monitoring resource Coinglass confirmed.

Crypto liquidations chart. Source: Coinglass

Bitcoin bad? It could be worse...

Away from Terra, attention also focused on Bitcoin hard forks on the day.

Related: Little forkers: BCH and BSV get crushed by Bitcoin price in 2021

Bitcoin Cash (BCH), which hit a peak of 0.1829 BTC in December 2017, had the dubious honor of hitting new all-time lows in BTC terms on May 11.

BCH/BTC 1-month candle chart (Binance). Source: TradingView

Now at just 0.0068 BTC, BCH drew ridicule in line with its spin-off Bitcoin SV (BSV), which likewise put in a new floor against BTC.

BSV/BTC 1-week candle chart (Bitfinex). Source: TradingView

"Bitcoin will remind you why it is king. ALT / BTC valuations are in for a reckoning," commentator Benjamin Cowen wrote.

"The story has been told in the past and it’s the same story again. See you at 60% BTC dominance."

Bitcoin's market dominance stood at 43.7% at the time of writing, up around 4% from 2022 lows set in January, according to data from CoinMarketCap.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should conduct your own research when making a decision.



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