The price of Bitcoin (BTC) lost $ 2,000 on social media reports following China’s regulatory ban.
Bitcoin versus China: don’t be fooled by “FUD”
According to data from Cointelegraph Markets and TradingView, the BTC / USD pair crashed from $ 45,000 to $ 42,000 in a short time.
The price of Bitcoin moved in the negative direction after negative statements about cryptocurrencies made by the People’s Bank of China (PBoC).
But as commenters noted, the PBoC first published its new legal guide on September 15.
However, the bans in China, which put pressure on the price of BTC, created negative sentiment (FUD) in the market.
The market already heard the rumors in mid-September and reacted to those rumors by then. DO NOT FALL INTO THE FUD AGAIN. https://t.co/pew1kyCZ3d
– Molly (@bigmagicdao) September 24, 2021
“Markets always react very strongly to FUD processes. Impressive,” said Michaël van de Poppe, Cointelegraph contributor. Reacted.
Similar reactions followed the news from Chinese real estate giant Evergrande. This situation caught the attention of the mainstream media and had a ripple effect on cryptocurrencies and traditional markets.
Ethereum falls below $ 3,000
Meanwhile, altcoins joined depreciating Bitcoin after the news from China.
Related: Bears Determined To Keep Bitcoin Price Below $ 46,000
Ether (ETH) price fell more than 7 percent at time of writing and once again lost the $ 3,000 support line.
Cryptocurrencies, which ranked in the top ten by market capitalization, fell as much as 9 percent in hourly time frames.