Massive Bitcoin Price Drop, Ripple Plunges Below $2 and More: Bit Summary Dec 10

TL;DR

Bitcoin fell from $100,000 to $94,300 before recovering to $96,800. Despite MicroStrategy’s heavy BTC buying, $1.4 billion was liquidated across the market. Ripple’s XRP dipped below $2 at one point, but analysts remain bullish. Some predict a market capitalization increase to $270 billion. Shiba Inu fell 25% even as Shibarium reached 2 million wallets and a 1,000% increase in burn rate, clearing 51.7 million tokens. BTC price changes

The past 24 hours have been quite hectic for the cryptocurrency market, which underwent a severe correction. Bitcoin (BTC), for example, missed the psychological level of $100,000, dropping to $94,300. In the following hours, it recovered some of the losses, currently trading around $97,000 (according to CoinGecko data).

BTC Price, Source: CoinGecko

It is interesting to mention that the withdrawal came shortly after MicroStrategy announced another multi-billion dollar Bitcoin acquisition. The company’s storage increased to 423,650 BTC (equivalent to $41 billion at current prices).

Such mass purchases reduce the circulating supply of the primary cryptocurrency and can lead to a rally in prices. As mentioned above, however, this was not the case this time.

Interestingly, BTC performed quite similarly after MicroStrategy’s previous purchase of Bitcoin in late November. The asset’s valuation then dropped from $98,000 to $92,000.

The latest correction didn’t just affect BTC, with well-known altcoins like Ethereum (ETH), Ripple (XRP), Solana (SOL), Dogecoin (DOGE) and many more posting substantial losses. As reported by CryptoPotato, the crash adversely affected over-leveraged traders, resulting in over $1.4 billion in liquidations on a 24-hour scale.

Optimism in the XRP army

As mentioned above, Ripple’s native token is among the hardest hit assets due to the market pullback, with its price down 12%. At the time of writing, it is trading around $2.17, and at one point it dropped below $2 on most exchanges.

XRP Price, Source: CoinGecko

Even so, its current valuation represents a 270% increase on a monthly basis, with numerous analysts predicting further gains in the near future.

Veteran trader Peter Brandt and user X CRYPTOWZRD claimed that XRP has “the most powerful chart” in the cryptocurrency market. The latter predicted that the token’s market capitalization could soon soar to a new all-time high of $270 billion.

Ali Martínez also intervened. He argued that investors should pray for a retest of $2.25 so they “can buy the dip and target $4.40.”

How is SHIB?

The meme coin sector is also painted red today (December 10), with Shiba Inu (SHIB) shedding more than 15% of its valuation.

SHIB Price, Source: CoinGecko

Its poor performance comes despite the latest milestone achieved by the Shibarium layer 2 scaling solution. As reported by CryptoPotato, the number of wallet addresses on the network exceeded 2 million. Before that, total transactions exceeded 600 million.

Shibarium’s breakthrough is one factor that could fuel a new resurgence for SHIB. Another is the combustion mechanism, which aims to reduce the circulating supply and potentially make the meme currency more valuable due to scarcity.

In the last 24 hours, the burn rate has increased by over 1,000%, resulting in 51.7 million tokens sent to a null address.

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