Down over $10,000 as longs liquidate as tech levels are broken/Yellen
The price of bitcoin is crashing. The price moved down to $46,616 and fast market conditions. On Sunday, the price closed at $57,370.01. That takes the fall down over $10,000 on the day.
Price action is very volatile with the current price trading at $47,500. The fall took the price below the 38.2% retracement at $47,208.40.
Technically the move below its 200 hour moving average at $52,215 was a shove to the downside. The price has not traded below that level since January 31/February 1 (see green line in the chart above). The technical bias turned to the downside on the break. Earlier the pair had shown signs of weakness on the fall below the 100 hour MA and trend line. On Feb 16, the price decline found buyers near that MA line. The trend line connected lows from Feb 7, Feb 15, and Feb 16 (twice - see red numbered circles 4 and 5).
Traders should now use that level as resistance if the sellers are to remain in control.
Treasury Secretary Yellen speaking on bitcoin says that
- it is used for illicit finance, and is inefficient
- bitcoin is highly speculative, people should beware
