Bitcoin (BTC) fell to around its lowest levels this year on March 12 as another wave of coronavirus panic gripped both cryptocurrency and traditional markets.
Cryptocurrency market daily overview. Source: Coin360
BTC price sheds another 7%
Data from Coin360 and Cointelegraph Markets showed BTC/USD sliding under $7,400 on Tuesday. The last time such levels were seen was on Jan. 3.
Bitcoin 1-day price chart. Source: Coin360
At press time, the pair circled $7,330 as it reacted to news that U.S. President Donald Trump had halted all travel to mainland Europe for 30 days.
Trump, who had previously denied that coronavirus was a threat, maintained that the risk to most Americans was “very, very low.”
This was not enough to calm markets, however, with the Dow Jones abruptly shedding 20% of its recent highs. In London, which is excluded from the travel ban, the FTSE opened down 5.1%.
Hash rate slips from highs
As Cointelegraph reported, analysts now broadly expect Bitcoin to move in step with market turmoil due to its lack of experience as a safe haven asset.
The network’s promising technical fundamentals, which had continued to hit records in recent weeks, now also felt the strain. Hash rate, a measure of the computing resources that miners were dedicating to validating the blockchain, fell from its all-time highs this week.
Bitcoin network hash rate. Source: Blockchain
In the short term, should selling pressure remain, Cointelegraph Markets analyst Michael van de Poppe was looking for targets of $6,400 or $6,154.
“Already hit the levels here,” he said, referring to previous failures to hold support higher up.