The price of Bitcoin (BTC) rapidly fell after surpassing $11,500 on Binance between Oct. 14 and Oct. 15. Within two hours, it fell to $11,280, recording a 2.3% drop. After the fall, analysts are expecting another minor pullback in the near term.
Three factors likely caused the rejection to occur include a sell-off on BitMEX, a major resistance level and the stock market pullback.
Bitcoin dropped as soon as the Dow Jones slumped
On Oct. 14, the Dow Jones Industrial Average (DJIA) dropped by 0.58%, after initially seeing a minor upsurge.
As the trend of the U.S. stock market trend started to shift, Bitcoin recorded a sharp decline. Within 15 minutes, BTC saw a 1.15% drop from $11,518 to $11,370.
According to the data from Skew, the correlation between Bitcoin and the S&P 500 has increased in recent weeks. In contrast, the realized correlation between BTC and gold has declined considerably in the last three weeks.