Bitcoin Price Continues to Bleed as Market Fails to Find a Bottom
The bitcoin price on Monday continued its crash course despite showing gains during the early Asian trading session. The digital currency attempted a go at its yearly low at ~$3,455 after reversing from its intraday peak at $4,115. That overall marked a circa 14 percent crash, setting standards for a further bearish action. The BTC/USD index at press time is trading at 3581-fiat, eyeing potential support from 3508-fiat. The market has once again created a psychological bottom area inside a 3000-to-3500-fiat range. There is so far no evidence that could prove a potential [strong] reversal at any of these levels. The last time BTC/USD tested these levels as support was in September 2017. The technical dynamics were different then — the pair was trending above its 50-period, 100-period, and 200-period simple moving averages while forming higher highs. In November 2018, however, the technicalities have turned upside down. The bitcoin price is now trending below its key moving averages, forming lower lows. The question remains whether the levels that were strong supports during an uptrend should remain equally robust when the asset is on its way down. The bitcoin technical indicators in the present could serve the purpose to instruct traders about potential entry and exit positions. They won’t be able to provide any long-term prospects unless the market truly establishes a bottom and rebounds with strong volume. Analysts predicting bottoms could at most be patting their own backs for making a right “guess,” not a prediction based on market demand.
Bitcoin (BTC) is down 8.17% over the past 24 hours and is currently trading at $3,691.35 on Coinbase. BTC dominance is at 53% and the total cryptocurrency market cap is currently at $121 Billion.