After the severe setback of the past few days, calm is slowly returning to the crypto market. Although the red signs still dominate the 24-hour view, the percentage losses are largely moderate.
As the digital reserve currency, Bitcoin is losing around 1.4 percent and is currently hovering around $ 46,200. This corresponds to a 13 percent discount on the multi-month high at the beginning of the week. In doing so, however, he is defending important chart marks.
The 200-day line, which is currently in the range of $ 46,000, has been briefly undercut several times in the past few days, but not lastingly broken. The horizontal support zone between $ 44,000 and $ 45,000 could also be relied on. The superordinate chart image thus remains basically positive despite the reset.
The pullback has dampened hopes of a march towards the previous all-time high of around $ 64,900, but it was not entirely surprising after rising by more than 75 percent since the end of July low. However, it was exacerbated by a quake in the derivatives market, where long positions with sometimes extremely high leverage were liquidated in rows.
It would now be important that Bitcoin can stabilize at the current level or that the technical chart support continues to withstand. As soon as the shock of the sudden stall in many cryptos has been digested, things should quickly pick up again, because the fundamental outlook has not changed since the beginning of the week.
Note on conflict of interests:
The chairman of the board and majority owner of the publisher Börsenmedien AG, Mr. Bernd Förtsch, has taken direct and indirect positions on the following financial instruments mentioned in the publication or related derivatives that benefit from any price development resulting from the publication: Bitcoin.
Author Nikolas Kessler has taken direct and indirect positions on the following financial instruments mentioned in the publication or related derivatives that benefit from any price development resulting from the publication: Bitcoin.
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