Crypto Krach: BTC drops over $2,000 in the last 24 hours

Crypto-currency prices plunged in today’s session as markets reacted to the latest inflation report in the US. Bitcoin fell more than $2,000 in the past 24 hours as consumer prices fell less than expected in the U.S. Ethereum was also in the red, with the token falling below $1,600.

Bitcoin

Bitcoin was trading lower in today’s session as markets continued to react to the latest inflation report in the United States. After a high of $22,673.82 on Tuesday, BTC dropped to an intraday low of $20,062.67 earlier today.

Markets were expecting August’s consumer price index (CPI) to come in at 8.1%, down from 8.5% the previous month.

However, with the CPI coming in at 8.3%, trader confidence faded, leading to a massive plunge in the crypto-currency market. Looking at the chart, this sell-off occurred after a false break of the $22,600 resistance point, with prices now hovering around a key support point.

Currently, BTC is trading at $20,164.21, which is marginally below a low of $20,600.

If bearish sentiment continues throughout the day, we could potentially see traders target a lower support level of $19,300.

Ethereum

Ethereum has also been on a bearish assault, as the token fell below $1,600 the day before The Merge was scheduled to begin. Less than 24 hours after hitting a high of $1,637.05, the world’s second-largest crypto-currency dropped to a low of $1,564.03 on Wednesday.

ETH’s fall sees the token hit its lowest point in the past week, bringing it closer to a long-term low of $1,550 in the process.

Bulls have so far resisted a break below this point, and many have chosen to come in and buy the current decline. Currently, ethereum is trading at $1,594.08, with bulls likely hoping to bring prices back above $1,600.

Many still expect ETH to strengthen in the coming days, remaining optimistic about tomorrow’s merger, and the long-term implications it could have.