Bitcoin has already fallen to $19,000

The price of bitcoin lost the support of $20,000 and until Saturday morning it was trading at $19,035 according to the specialized site Coindesk.

This value represents a decrease of 6% compared to the previous day and is the continuation of a downward streak that began on June 12.

Consequently, the rest of the cryptocurrencies in the market such as Cardano, XRP, Dogecoin, Solana, and Ethereum also suffered sharp falls.

The breakout of the $20,000 floor implies, for the first time in history, that the cryptocurrency lost the support of a market cycle. Specifically, the market cycles that the cryptocurrency has fulfilled so far are based on the mechanism of reducing the monetary emission in the network through the “halving” or reduction by half.

It should be remembered that every four years the amount of bitcoin issued in each block is halved, which has happened three times.

As reported by the CriptoNoticias site, these cycles have impacted the market and each new cycle has brought higher price maximums than the previous one.

So, for example, when the price of Bitcoin first passed $1,000 during the 2017 bull cycle, it never fell back from that level, which was the high of the previous cycle. In that bull run, bitcoin hit a new high of $20,000 and that was the floor at risk.

This new fall affects the 2,301 bitcoins that the Government of El Salvador has supposedly bought for an investment of $103 million and that is now valued at only $44.8 million. However, there is no official data if part of these has been sold, as recently stated by the Ministry of Finance, Alejandro Zelaya.

Furthermore, most of those who are engaged in the cryptocurrency mining business is already operating at a loss because the value of the cryptocurrency does not cover the minimum necessary to cover the operating costs of the high electricity consumption of their computing equipment.