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What happened to the bitcoin crash? Why bitcoin fell sharply

The reason for the sharp fall of bitcoin has surfaced. The US and Canada restart trade negotiations, and global capital markets have been frustrated. What's going on with today's sharp fall in bitcoin prices?

Bitcoin dived into the water and lost six gates of 6800, 6700, 6600, 6500, 6400 and 6300 dollars in a row, falling more than 15% in 24 hours, and now it's 6384 dollars. Digital currencies such as ether, repo and litecoin all fell by more than 20%. Cryptocurrencies have plummeted, making it difficult to meet the definition of "money" and become an over touted speculative commodity. The economist asserts that bitcoin and other cryptocurrencies are useless. What about the technology blockchain that supports cryptocurrencies?

Bitcoin's market website bitcoin wisdom shows that since yesterday (5) evening, bitcoin's price has been falling all the way. After 7:30 Beijing time, bitcoin has continuously lost six gates, namely 6800, 6700, 6600, 6500, 6400 and 6300 US dollars, with a minimum of 6253 US dollars and a daily drop of more than 14%. As of the time of publication, bitcoin's decline narrowed to $6404.

Bitcoin trend chart

On the evening of the 5th, the digital money market suffered a huge setback. Bitcoin's price against the US dollar suddenly plummeted, breaking through the 7000 US dollar barrier. Among other major cryptocurrencies, the price of famous currencies such as Ethereum, etheric classic, litecoin, reborn and EOS dropped 15% against the US dollar at one time.

Goldman's plan to withdraw its cryptocurrency trading desk may cause bitcoin to plummet, according to sources. MATI Greenspan, senior market analyst at eToro, said that the expectation for Wall Street to adopt cryptocurrency has been the theme of cryptocurrency market in the past year, so any type of news update will definitely promote price change. If not, it should be enough to cause a slight sell-off like this.

Another source said Michael duvally, a spokesman for Goldman Sachs, said: 'at this stage, we have not reached a conclusion on the scale of digital asset services. 'but Goldman is now focusing on other projects, such as the custody of cryptocurrencies.

Mike McGlone, a senior commodity strategist at Bloomberg, said the market is now bearish and that holders need to sell in bear markets as usual. He points out that the chart shows that bitcoin prices are falling, but short positions are soaring. Just two days ago, the number of short positions in bitcoin soared on the bitfinex platform. On September 2, bitcoin short positions rose from 22050 to 33276 in four hours.