In the past 48 hours, Bitcoin (BTC) has leveled off in the price range of $ 6,900 – $ 7,100. This area is just below the next major resistance at $ 7,200. When Bitcoin moves in a price range for a long time, a violent price movement usually follows.
Standard deviation from the downtrend?
If the bitcoin price is rejected on the downtrend line, it usually means that the price is slipping to lower supports. Crypto expert Trader XO suspected this week that Bitcoin is currently moving along a downtrend line, which could lead the market-leading cryptocurrency back to the $ 6,300-6,400 range. Bitcoin was originally in this area in early April.
Similarities to the March crash
In February, before the corona crisis had a noticeable impact on the crypto markets, Bitcoin reached an interim high of $ 10,500.In the following days, however, the price failed due to an important hurdle, which triggered a steep downturn, which initially led to $ 7,700 and only came to an end at $ 3,650.According to analyst Crypto Capo, Bitcoin’s recent price performance bears a striking resemblance to the price development before the downturn from $ 10,500 to $ 3,000.