Bitcoin takes another run to the downside. New 2018 lows.
Trades at lowest level since September 15, 2017
The price of Bitcoin on Coinbase took another run lower today. The price of the digital currency is trading down about $200 and $3398. The low price reached $3290.99. We high today extended to $3624.26. The price fell below the November low at $3456. That is now close risk for shorts. Stay below keeps the sellers in firm control.
On the daily chart above, the September 15, 2017 low bottom that $2975 before starting the surge up that ended way up near $20,000. The end of year 2017 was at $14,067. That is a 76% decline. Ouch.
The swing low below the $2975 comes in at $1758. At $3394, the $1758 is $1636. To put things into perspective, on November 7th (about a month ago), the price of Bitcoin was at $6500. The price is down $3110 since that high. Now it might not get there - the bias needs to stay negative technically - but it is doable.
What would turn the bias back positive?
Drilling to the hourly chart below, the getting back above the $3456 low from November 25 would be the minimum move to turn the bias back higher (if stays above) Above that the 100 hour MA (blue line at $3737.66 and moving lower), and the trend line just above that level (moving lower too) are other hurdles. Above that and the falling 200 hour MA (green line at $3921) will need to be breached.
Failure to get above those hurdles, keeps the sellers more in charge (with varying degrees - each hurdle broken above, gives buyers some upside potential).
For now though, below the $3456 is another bearish step for Bitcoin.