Many investors surmise that the recent news from China has impacted the bitcoin value.
Bitcoin has received an atrocious beating on Thursday, Sept. 14 dropping to its lowest average this month. The price of bitcoin has dipped to its lowest level this month, to a low of $3,231.13 in the midst of the recent regulatory storm developing in China. Chinese authorities have taken issues with the recent ICO madness and have notified cryptocurrency trading platforms in the region to cease its operations. As of these writing, bitcoin’s price is struggling to maintain its value above $3,261.04 range as traders as are waiting for the floor to appear and open new positions.
Bitcoin stock has already dropped significantly last September 13 as uncertainty about the news keeps creeping from China swept the web. Bitcoin’s value dropped from $4,031 to a low of $3,882 before the exchange BTCC China made its current announcement. In the wake of the drop in bitcoin’s value, almost every other cryptocurrency in the market is operating at a loss with deficits averaging 10% to 30%.
Market Analysis of Bitcoin Stock
Looking at the bitcoin chart, the value of bitcoin has dropped six legs down within the last 12-hours. But many investors are still hoping that the situation in China will resolve soon. Many believe that people are creating FUD just to shake out feeble hands. Bears appear to bet against the digital currency’s price seeing that there are a massive number of short positions being put amongst traders. Bearish too opinionated sentiments have set off a whole heap of panic resulting to selling and order books moving fast across numerous popular exchanges.
Currently, the 100 SMA (Simple Moving Average) is coasting all along over the 200 SMA, meaning a possible rebound could very well happen in the near future. Even though, both the RSI (Relative Strength Index) and the Stochastic Oscillator indicators show the correction may continue heading south. Presently, order books show a massive quantity of sell orders in the neighborhood of $4,000 while on the buy side is immensely mountainous as traders yearn for the lowermost entry points. Trade volume is robust seeing that BTC markets are swapping $2.3B over the last 48-hours or so.
Cryptocurrency Markets Are Seeing Blood
In general, cryptocurrency markets are feeling the fury of China’s looming regulatory storm. Virtually every altcoin below bitcoin has seen deep correction insofar as the over-all cryptocurrency market cap reaches a low of $120B. Well-known altcoins such as ethereum, ripple, litecoin, and a lot of others are looking at major deficits in months. Bitcoin Cash has similarly fallen to as low as $375.72 per BCH as of this writing, but nonetheless still remains at third as the most prized cryptocurrency market cap.
Bear Markets: The bitcoin value could simply fall lower at this point, but there seems to be a decent floor in the $3,265 – 3,387 range as of this writing. If further panic selling arises, the price could come close to the neighborhood of $3,000. RSI shows the bearish trend may continue in the next 48-hours.
Bull Markets: In the event that bulls would like to drive the price up above the $4K range, again they have to do some work this week or early next week. In the next few days, the value may well strengthen and spring back after this correction. Right now charts exhibiting the formation of the head and shoulders is over and the cryptocurrency markets ought to follow with a bullish uptrend in the near future.
I, therefore, conclude that right now it is even more lucrative to mine as Bitcoin’s domination of cryptocurrency market is still above 49 percent. Surely, Bitcoin will surely recover from China crackdown and it will be astronomical.