Following a decline of more than 15% in an hour on Tuesday, the Bitcoin price fell another 8% Thursday morning and dropped below $8,000 for the first time since June 2019. As of 11:30 AM PST, CoinMarketCap shows Bitcoin price at $7,979.25. Bitcoin’s sharp decline started around 6:15 AM PST on Thursday, when the price was still over $8,400.
Major altcoins like Ethereum and Litecoin have moved at roughly the same pace as Bitcoin. Ethereum price is $160.80, down 4.86% and Litecoin price is $53.27, down 6.35%.
Potential reasons as to why the Bitcoin price is on the decline revolve around theories of Bakkt’s slow start and the potential delay (or even cancellation) of Facebook’s Libra cryptocurrency project.
There is “no good catalyst to drive it higher,” said John Spallanzani, portfolio manager at Miller Value Partners. Bitcoin was never able to regain the near-$14,000 highs it reached over the summer, he said, adding that the “market got tired and volume dried up.” Following a break below $8,000, “a quick move back to $6,000 would not be out of the question,” said Spallanzani.