Bitcoin: USD/BTC (BTC=X) market suffered widespread losses

Bitcoin: USD/BTC (BTC=X) market suffered widespread losses

Bitcoin: USD/BTC (BTC=X) market suffered widespread losses

Bitcoin reached a six-week low today, declining below $3,400 as the broader cryptocurrency market suffered widespread losses.

The world’s largest digital currency by market capitalization (market cap) dropped to $3,374.46 at roughly 10:40 a.m. EST, according to CoinDesk bitcoin price data. This was the lowest value since December 17.

At the time of this report, 9 of the top 10 cryptocurrencies by market cap were in the red on CoinMarketCap, having suffered declines over the last 24 hours.

Joe DiPasquale, CEO of cryptocurrency fund of hedge funds BitBull Capital, described the price movements as “too minor to be a result of any fundamental development,” adding that they were “within the established range of $3,000 to $3,500.”

However, Jon Pearlstone, publisher of the newsletter CryptoPatterns, offered a different point of view, noting that bitcoin could face further volatility soon enough.

Should the digital currency enjoy a “strong recovery” today, that development could prove quite bullish for bitcoin.

Overall, the bias in prices is: Downwards.

Note: this chart shows extraordinary price action to the downside.

The projected upper bound is: 3,748.72.

The projected lower bound is: 2,961.97.

The projected closing price is: 3,355.35.

Candlesticks

A black body occurred (because prices closed lower than they opened).
During the past 10 bars, there have been 4 white candles and 6 black candles for a net of 2 black candles. During the past 50 bars, there have been 25 white candles and 25 black candles.

Three black candles occurred in the last three days. Although these candles were not big enough to create three black crows, the steady downward pattern is bearish.

Momentum Indicators

Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.

Stochastic Oscillator

One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 24.2846. This is not an overbought or oversold reading. The last signal was a buy 13 period(s) ago.

Relative Strength Index (RSI)

The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 35.35. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a buy 43 period(s) ago.

Commodity Channel Index (CCI)

The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is -204.This is an oversold reading. However, a signal isn’t generated until the indicator crosses above -100. The last signal was a buy 3 period(s) ago.

MACD

The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a sell 1 period(s) ago.

Rex Takasugi – TD Profile

FOREX BTC= closed down -60.000 at 3,356.040. Volume was 66% below average (consolidating) and Bollinger Bands were 76% narrower than normal.

Open High Low Close Volume___
3,415.4603,512.4003,355.0003,356.040 27,594

Technical Outlook
Short Term: Neutral
Intermediate Term: Bearish
Long Term: Bearish

Moving Averages: 10-period 50-period 200-period
Close: 3,516.44 3,667.79 5,603.18
Volatility: 37 68 66
Volume: 66,493 79,657 80,069

Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.

Summary

FOREX BTC= is currently 40.1% below its 200-period moving average and is in an downward trend. Volatility is low as compared to the average volatility over the last 10 periods. Our volume indicators reflect volume flowing into and out of BTC= at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bearish on BTC= and have had this outlook for the last 14 periods.

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