Bitcoin is nearing a critical juncture as its recent sell-off shows few signs of abating.
The largest digital token is nearing a crucial inflection point as its price inches closer to the lower band limit of the Trading Envelope Indicator. The gauge smooths moving averages to map out higher and lower limits, with a break below the lower band potentially preceding a retreat similar to the one seen on Sept. 24, when the coin fell 12% in one day. A bounce off the lower limit, on the other hand, could signal support at that level and, possibly, a rally similar to the one seen on Oct. 25, when Bitcoin posted a 15% gain.
Whichever way it moves, Bitcoin is nearly certain to see one thing: more trading as its price ebbs closer to the lower level limit, the indicator suggests.
Cryptocurrency prices have been under pressure recently, with Bitcoin losing more than 20% over the past month. Other cryptocurrencies have also sold off after Chinese authorities took fresh steps to crack down on the trading of digital assets. Bloomberg News reported last week that at least five local exchanges there have already halted operations.
Crypto faithfuls got another dose of bad news after U.S. authorities arrested a member of the Ethereum Foundation for violating international sanctions after he traveled to North Korea to give a cryptocurrency talk.
No comments:
Post a Comment