Bitcoin price had been trailing just below its 1-hour 200-period moving average for days. The overlap between the Sunday evening US session and the early Monday Asia-Pacific session saw a sharp sell-off – to support – where the market is now eyeing $200.
Bitcoin Price Analysis
Time of analysis: 15h00 UTC
Bitfinex 1-Hour Chart
From the analysis pages of xbt.social, earlier today:
The Greek elections have had a market positive outcome with the Syriza party receiving a clear majority of the vote and the New Democracy party (also pro-Euro) receiving convincing support and qualifying as a coalition partner.
Price should now head to our target below $220 (Bitstamp) and perhaps close to $210. It may do so in persistent decline, or may pull lower in fits and starts making intermediate corrections. With several days to go until futures settlement, the suggestion is to hold position and look to close at target, unless a strong possibility of reversal becomes apparent.
Notice that the 200MA and its standard deviation envelope has moved lower while we waited for decline to commence. The target for this wave of decline has, therefore, been pulled closer to $210 and traders should adjust their take profit level accordingly.
The first panacea for a mismanaged nation is inflation of the currency; the second is war. Both bring a temporary prosperity; both bring a permanent ruin. But both are the refuge of political and economic opportunists. – Ernest Hemingway
The chart price pattern evident in all exchange charts has an ominous bearish shape. It is not unusual for commodities to revisit price lows dating back years and sometimes decades ( as in the case of, say, consumables). The speculative interest in bitcoin means that it is not exempt from this trait, and as much as it can blow spectacular rallies it can also dive really low when mood and fundamental valuation turns negative. The speculator’s longer-term task now becomes a challenge of determining the bottom – or more realistically: the signs of confirmation of advance – wherever the decline low turns out to be.
Bitfinex orderbook depth and Buy/Sell Volume:
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Bitcoin price charts from TradingView.
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