Bitcoin price has been declining over the last few days and the decline has been so huge that it has even attracted greater attention from US regulators.
Bitcoin price decline every single day is becoming a rather monotonous affair. While there have been recoveries previously from a couple of days of continuous decline, this time around things are different. Part of the reason for this is some investors are panic selling while there is a lot of speculation in the market that is playing it’s own role.
Too much speculative activity ready to pull the trigger at low levels for things to continue depreciating and, once we see price turnaround, this speculative volume should start to pile into the markets – at least in theory. We’ll have to wait and see if things play out that way. The key thing is not to panic sell, however.
Panic selling compounds the downside action and just drags the downwards spiral down further.
As per the chart the range that we are looking at for the session today comes in as defined by support to the downside at 6418 and resistance to the upside at 6671. We’re going to try and get in long if we see prices close above resistance and we’ll target 7000 to the upside.
Conversely, if we see price close below support, we’ll get in short towards an immediate downside target of 6200.
That’s the levels in place, let’s see how things play out and we will revisit at the close of the session this evening.