The bloodbath in the crypto market continued on Apr. 7 as the market cap dipped 10% over the last 24 hours to $2.5 trillion.
Bitcoin itself has suffered a decline of 6.5% within a day to trade at $77,179.48 at press time, as per Kraken’s price feeds.
In fact, the world’s largest cryptocurrency even fell to $74,604.47 on the day — its lowest in five months.
However, crypto analyst Michaël van de Poppe believes that things could go even worse for Bitcoin from here.
Poppe referred to the day as “Black Monday” and highlighted Bitcoin’s slump. Black Monday refers to the global stock market crash that occurred on Oct. 19, 1987, that led to a worldwide loss of $1.71 trillion.
The analyst mentioned a few factors that the market could count on to recover. Either President Donald Trump, who announced “reciprocal tariffs” on Apr. 2, would delay implementing them — which isn’t happening — or the Federal Reserve would announce an emergency meeting within 1-2 weeks maximum. The Fed has notified about a closed meeting of its Board of Governors on Apr. 7.
If none of such actions follow, the market could slide even lower, Poppe warned. The next 1-2 weeks will be a “rollercoaster” in which we could see how low Bitcoin will trade at. From here, it “can go as deep as” $70,000, he added.
Poppe said that Bitcoin’s correction also offers a buying opportunity to traders who can ride gains in a year or two.
Over $1.4 billion was wiped out within the last 24 hours from the crypto market in liquidations, as per Coinglass.
