Bitcoin Price Dropped By 20% Within 24 Hours What’s The Reason?

The past few months have been all about Bitcoin (BTC), the world’s oldest digital currency, as it has been rallying higher at a rapid pace during this time period. Bitcoin’s price value touched the sky limit and set an all-time high value at around $41,900 with the help of its wonderful bullish rally. However, something has pushed the price of the top-ranked digital currency down over the course of the past few days. Particularly, it had to undergo an overnight price crash which it has not seen in the past ten months.

BTC Price Went Down Below $30K

Earlier on the 22nd of January, the leading digital currency’s price value decreased down below the key support level of $30,000. It lost $6500 of its value within the duration of just 24 hours after facing a price decline of more than 20 percent during this time period. Reportedly, the flagship cryptocurrency has seen this massive daily price drop for the first time in the past ten months. Moreover, it was the first time since the 4th of January that the top digital asset dived down below the $30k mark.

After going through this price crash, Bitcoin has made an attempt to recover its lost value. It has slightly recovered so far now as the price has once again come back above $30k. At the time of writing, Bitcoin’s price value is trading at $32473, as per the data from CoinMarketCap.

This price drop, however, has affected the market capitalization which plummeted down to $580 billion before reclaiming $600 billion on the same day.

F2Pool’s Bitcoin Miners Are Behind This Price Drop

The South Korean blockchain analytics company CryptoQuant has fetched new on-chain data regarding Bitcoin’s drop. As per this data, Bitcoin miners of the leading China-based mining pool F2Pool are behind this price drop of the leading digital currency as they initiated a huge sell-off earlier. They went for the sale of their BTC rewards in order to fulfil their expenses of operations.

Bitcoin is continuously going down after this crash despite the efforts being made by the top-ranked digital currency for recovery.