ForexMinute.com – The mood once again shifted from rising trends, and the entire cryptocurrency market saw its impact in the last 24 hours. Almost every top coin, including Bitcoin, Litecoin, Dogecoin, Darkcoin and others, fell embarrassingly due to strong selling pressure.
Speaking mainly of Bitcoin charts, the price uptrend there has been aggressively resisted by strong bearish hands. On Bitcoin exchange platform BitFinex, a consistency in small market sell-orders is noted, that too in only 4 hours. The total number of these sell-offs sums up to be around 4,000 BTC. It is the same time when the Bitcoin price jumped from 380s to 370s during the 9/20 trading hours.
It doesn’t mean that there is very strong bearish sentiment in the market. Bitcoin has just bottomed two weeks ago, and has reversed the trend line to finally hit 408 last week. Imagine how many traders there are that might have entered the market by buying at 350 or above. These hands are the only considerable bulls in the market, whose attempts are saving Bitcoin from hitting the double bottom. Speculations are on both sides – bulls or bears. We can thus consider today’s crash a temporary mood that will soon be transformed if new opportunities are presented.
The BTC/USD opened at around 391 during the 9/19 trading hours, and continued its sideways movement throughout the day. It ultimately was closed at 390. Right upon entering the next day, the pair deviated from the prevailing movement, and dropped massively – from 391 to 386. Thereupon, it initiated a downtrend suggesting the execution of sell-orders at multiple Bitcoin exchanges. The support levels further kept dropping – the lowest being 378.
The bulls returned to the market somewhere around the aforementioned intraday low. Speaking of daily signals, the average of moving indicators still predict the BTC to go lower, citing selling sentiment in the market. But technical indicators on the other hand are suggesting strong buying sentiment.
In case the TAs are correct and the market uptrends in the coming hours, we might expect it to cross 400 and find resistance at somewhere between 401 and 408. In terms of bearishness, the next support level can be found at the 470-475 trading range.
The market overall is neutral and it is tough to predict its price movement with utmost surety. We recommend to sell the coins if you have bought at 300-325. Rest can wait further.
To contact the reporter of the story: Yashu Gola at email@example.com