Bitcoin, the leading market-cap encryption asset, had a difficult year. Cryptocurrency started the year at extremely low levels, but then exploded 350% to $ 14,000, before falling almost 50% to $ 7,300.
The third largest 24-hour gain on this asset reduced the crypto asset to a 200 and 50-day moving average, but was rejected at over $ 10,000 and is again in free fall mode. The decline has brought Bitcoin back to 50DMA, where the asset is testing it again as support, which, according to a crypto analyst, is very dangerous.
The price of bitcoin stalled: the bull or bear market will soon be decided
Bitcoin is at a critical juncture and corrects its effects on a vigorous rally before embarking on a real uptrend or is about to enter the next phase of the bear market. The coming days will determine the trend for the coming months as the asset approaches its halving.
Related reading | Bitcoin price: Recovering a significant moving average could lead to a new test of the highest
Price action has been difficult to assess which side the market is looking at – bullish or bearish. The break-up of a massive symmetrical triangle over several months has made the market bearish, but a powerful information-driven rally following Chinese President Xi Jinping’s support for blockchain technology has provoked a surge in asset prices, provoking a short epic pressure and a record for the third biggest gain of a day of assets.
The explosive move has brought Bitcoin above the 200-day moving average, as well as the 50-day moving average – two moving averages that have crossed recently.
But this powerful spike may be just another bearish test of the old support transformed into resistance, and Bitcoin is again falling, falling below the 200DMA and now facing a “dangerous” new 50DMA test.
Bitcoin was on top during all the gathering,
went below when crashed and then over soon.
Now he tests again and again. Dangerous. $ BTC $ BTCUSD #bitcoin
According to a graph shared by a crypto analyst, Bitcoin was above the 50DMA throughout the 2019 rally, until it began to correct itself and the asset fell below – but negotiates it closely. It was only in September that Bakkt was launched with a lot of disappointment, while the sale of the event lowered the price of bitcoin to $ 8,000.