Bitcoin had a flash crash due to a brief Xinjiang power blackout in China home to a sizeable number of bitcoin miners. This was the first time such an outage occurred. Since bitcoin price and hash rate have always been correlated, #cryptocurrencies had a flash crash lasting just a few minutes before bouncing back up hard. Media piled on the #FUD bandwagon trying to come up with reasons why bitcoin crashed citing regulatory overhang, bubbles, and other reasons. This caused bitcoin to roll back over as more people sold into the bounce
Bitcoin’s hash rate has collapsed once before. Since bitcoin code was released back in 2009. The year was 2017 due to bitcoin’s wars with bitcoin cash (#BCH).
Both instances were buying opportunities for bitcoin.
Other metrics are showing this as a price low for bitcoin. Futures funding rates have mostly gone negative. Another metric, SOPR (spent output profit ratio), has an excellent track record in calling minor lows for bitcoin.
This crash may take a few days to digest (or not it is Sunday after all)
A bloody Sunday indeed… blood on the streets was a famous Rothschild saying, correct?
