Bitcoin price dropped by $ 700 today

By Huseyin7 | huseyinusluoglu | 28 Oct 2020


Bitcoin price even broke the record for the year after two hectic weeks, even above $ 13,700. With the BTC / USD parity rising to $ 13,700, FOMO was fully felt, but the decline emerged immediately. Why did Bitcoin, which lost about $ 700 in value from the morning until the evening of October 28, faced such a harsh reaction?

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The leading cryptocurrency dropped to $ 13,000 a few hours after that after testing $ 13,800. Although the support level here gives the opportunity to jump and the price rises to the level of $ 13,200 again, everyone is now wondering why or the reasons for this decline.

Raoul Pal, CEO of Real Vision Group, recently stated that if Bitcoin goes above the all-time record $ 20,000, the way forward is clear. However, before that, the $ 14,000 level is known to be a strong support. The peak of 2019 was $ 14,000, far from testing yet. The main reason for this decline may be the sharp fall in the US stock markets.

Stock Markets And Gold Pull Down The Bitcoin Price

Bitcoin actually had a slight jolt after the US stock markets opened with a decline on the first day of this week. However, FOMO provided the opportunity to act independently of the course of the stock markets for the Bitcoin price. Today, both the spot gold price and the US Dollar Index (DXY) declined sharply. This decline, experienced for the third day in a row, was accompanied by the European-based STOXX 600 index. US stocks have been declining since Monday, and the Dow closed with a loss of about 600 points.

Although Bitcoin moves differently in the first days of the week with an independent FOMO, global markets also affect this. Especially the sharp decline in the US stock markets and spot gold price also affected the Bitcoin price. It is expected that the US stock markets will decline until November 3. This situation can keep the price of Bitcoin under $ 14,000 until then. However, according to an important historical indicator, the rise in BTC price may continue after 3 November.

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