Bitcoin price (BTC/USD) dips below $5,000 on Friday morning

Bitcoin price (BTC/USD) dips below $5,000 on Friday morning

The Bitcoin price (BTC/USD) has seen significant losses over the past couple of sessions, pulling back from recent highs.

The original cryptocurrency had very positive trading session on Wednesday, especially in the afternoon, when the coin’s price broke above the $5,400 barrier for the first time since late November. The coin rose to as high as $5,421.65, before finishing the session at $5,324.55. This was its highest close since November 18, according to data from digital currency tracker Coinmarketcap.

However, Bitcoin has been unable to maintain this positive momentum in subsequent trading. The coin experienced a sharp pull-back on Thursday, with its price retreating towards the $5,000 level. BTC managed to barely hold above this psychological support level yesterday, as it fell to as low as $5,017.30 in the early afternoon.

The drop below $5,000 materialised during the opening hours of today’s session, when the Bitcoin price tumbled to a one-week low of $4,959.70. However, this was followed by a swift rebound that allowed the coin to recover from the early slump and put a respectable distance between itself and the $5,000 level. At the time of writing, the Bitcoin price was hovering around the $5,070 mark.

The recent pull-back has affected not only Bitcoin, but other major digital currencies, as well. Ethereum (ETH), for example, is currently trading at around $165, well below this week’s high of $184.34. The No. 2 digital currency on the market fell to a one-week low of $161.26 earlier today, mirroring its larger crypto rival.

In today’s trading, the Bitcoin price stood at $5,069.52 as of 15:17 BST. The digital coin has gained 0.3% in the past 24 hours, Coinmarketcap data shows. The coin’s total market capitalisation currently stands at nearly $90 billion, which represents 51.9% of the combined value of all digital currencies.

By Michael Harris
Specialising in economics by academia, with a passion for financial trading, Michael Harris has been a regular contributor to Invezz. His passion has given him first hand experience of trading, while his writing means he understands the market forces and wider regulation.