Bitcoin bulls were not able to capitalize on the price gains, which were made this week. The bullish breakout which was made on the 4-hour chart was nullified when the Bitcoin pulled back from its 2.5 weeks high of $8,830 to below $8,400.
The current move is a failure to hold above the 200-day moving average near $8,654. If the short-term bullish outlook should be revived, the daily close should revive above 200-day MA.
While the Bitcoin price trends are in the decline, major Altcoins are declining as well. Investors are watching and wondering about what is likely to happen next.
One of the analysts believes in a notable decline in the price. Reversal is imminent when we go a little higher. Newer lows are happening with the 4 hours rising wedge on the RSI.
Potential big movements on the price charts are likely because of Bitcoin miners. They tend to be holding their crypto and they sell it during times of significant volatility.
A horizontal channel is created when the price trades between highs and lows in terms of resistance and support. If the price should move outside the trading range a specific building up of momentum is required. A breakout happens when the price moves above the resistance point in the range. A break down happens when the price moves below the support point in the range.
The strength of the breakout or the breakdown is determined by positively correlating the amount of time the price has been trading in a particular range.
Considering the current price trends, investors are not considering Bitcoin as the driving force in the cryptocurrency market. The fall of the Bitcoin has got nothing to do with itself, rather it has to do with the growing numbers of tokens in the cryptocurrency ecosystem.
The price of the Bitcoin is being driven by competing digital currencies and newer kinds of blockchain technologies. This is not truly a bad thing.
The “quotability” was the strongest predictive measure in Bitcoin, and it was mostly talked of in conjunction with several traditional cryptocurrencies.
Zak Selbert, opined that Bitcoin is a part of the financial landscape in a nature and intertwined way. Being a big kid, Bitcoin can be moved by anything which would make gold or the G-10 currency move. Despite what the rest of the cryptocurrency ecosystem has to say, Bitcoin is a big kid.