Cryptocurrency
Bitcoin’s Breach of $10,000 Mark May Portend Deeper Losses
As reported on Bloomberg, “Bitcoin is falling in tandem with U.S. stocks, and technical indicators suggest the digital token could decline further if it fails to reverse recent downside momentum. “The largest cryptocurrency is dithering around $10,000 Tuesday. However, a sustained breach of that level could trigger a bigger drop to $9,000 or — should […]
As reported on Bloomberg, “Bitcoin is falling in tandem with U.S. stocks, and technical indicators suggest the digital token could decline further if it fails to reverse recent downside momentum.
“The largest cryptocurrency is dithering around $10,000 Tuesday. However, a sustained breach of that level could trigger a bigger drop to $9,000 or — should the rout in equities persist — to $8,000, technical analysis suggests. Additionally, the coin is trading in oversold territory, with its GTI Global Strength Indicator at 21, well below the level of 30 that signals oversold conditions.
“’One by one, the dominoes of what were the most popular trades in the market have fallen,’ said Brad Bechtel, head of global currency trading at Jefferies LLC. ‘The market is in a bit of a liquidation mode, unwinding many of the popular trades from the summer or from the start of the post-Covid rebound. Bitcoin is one of them.’
“Bitcoin traded above $12,000 as recently as last week, but has dropped about 16% since last Tuesday. A summertime rally in U.S. stocks has taken a pause as well, wiping out billions in market value. Bitcoin fell as much as 2.2% to $9,928 on Tuesday, before paring losses to trade around $10,130 as of 1:41 p.m. in New York. Dash, Ether and Litecoin also retreated though Bitcoin Cash and Monero posted gains…”