The crypto currency market declines. How many more to the bottom?
The crypto currency market declines in the course of trading on Friday. Pressure on the market is exerted by tougher regulation of trade in crypto-currencies and even the threat of prohibition of use in some countries of the world. Over the past 7 days, the cost of leading crypto currency fell by an average of 33%. This panic on the market encourages investors to sell the crypto currency to protect their investments.
During today’s trading, Bitcoin’s price fell below $ 8,000.00 per coin, while the potential for decline is still quite large. The decline in the value of the criterion is caused by its speculative growth in 2017. The first absolute increase in bitcoin in 2017 for one month was recorded in May, after which the rate of crypto currency began to grow, almost in geometric progression. Then the value of the crypto currency was about $ 1350.00. Given this factor, it can be assumed that bitcoin is falling to its real value, which is why it is quite realistic to reduce the price of crypto-currencies to the area of $ 1500.00- $ 2000.00.
Technical Analysis: If one stretches the Fibonacci grid on a weekly chart, it is clearly seen that Bitcoin’s price is trying to break 61.8. Fixing the price below $ 8000.00 per coin will indicate continuation of the downtrend in the long-term period.
Fig. BTC/USD. Current price – $ 7,844.770
Alexander Sivtsov