Connect with us

Bitcoin

Bitcoin [BTC] flash drops from $7000 to $6700 in 7 minutes – weak panic, smart money buys!

Santhosh M

Published

on

Bitcoin drops to $6700
Source: Flickr

When markets just started getting comfortable again with Bitcoin going back to cruising at $7200, a sudden drop around 10:13 UTC continued for seven minutes until 10:21 UTC. The seven-minute sell-off now has BTC trading at $6700.

Everyone from Youtubers, bloggers, chart analysts and even major media commented on the possibility of Bitcoin bouncing back above $7000 yesterday morning. Although the prices grazed $7200, the current pullback of BTC back to $6700 has everyone perplexed about the expected breakout of the market.

Craig Martin, A Youtuber, and a cryptocurrency chart analyst says,

“The falling wedge is an indication used by traders always, right now the possibility of Bitcoin breaking out is extremely high. If the current drop continued then it would have been a bad sign but we are now stable in the 6.7 range. The smart thing to do is buy.”

Rajat Bhandari, a crypto enthusiast from Pune says,



“We have India where the smallest news triggers the panic mode. We are fighting back here. This is the revolution, I can feel it in my bones. Bitcoin isn’t going anywhere. I’m investing in the revolution, not just the money. Someone big just cashed out right now and the markets are still heavily volatile so you can expect the swings.”

Other sources say that a recent Bank of America Merrill Lynch [BofAML] report stating that Bitcoin is a bubble could be the reason for the drop. While many argue that calling Bitcoin a bubble is boring and fails to have the same impact that it had earlier this year. Sideways trading around the $6700 mark for more than three hours after the drop, many say, is a sign that the sellers might be tired.

Allen Isaac, an advisor at a hedge fund managing company says,

“These are times when the smart money accumulates and the weak sell-off. I tell people to have a coin based target, not money. Accumulate more coins, that’s true wealth”





Subscribe to AMBCrypto’s Newsletter




Follow us on Telegram | Twitter | Facebook



Santhosh is a full-time reporter at AMBCrypto. He is an engineer with a major in Mathematics and Computer Science. He developed a key interest in the blockchain space and has been studying and researching about it ever since. He is currently authoring a book on Blockchain and its use cases in the Education domain. He currently does not hold any value in any cryptocurrency or its projects.

Continue Reading
Advertisement
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Bitcoin

Bitcoin [BTC] surges above $5,500 and breaks major resistance level; collective market rises

Avatar

Published

on

Bitcoin [BTC] surges above $5,500 breaking major resistance level; collective market surges
Source: Pixabay

Bitcoin [BTC] broke out of its sideways trend that saw coins fall after a brilliant start to April. This “break-out” is especially significant since it came days after the coin was trading sluggishly, pulling the market cap below $175 billion.

After breaking the $5,200 level on April 16, the coin held steady, showing no noticeable dips. However, it also began losing the momentum it had gained when it rose by 15 percent on April 2. Many saw the past week as Bitcoin losing steam, opining that a drop to as low as $4,000 would manifest. This pessimism coupled with the delisting dilemma saw the global market decline by 3.31 percent over the past weekend.

Given this backdrop, the present Bitcoin price incline was even more bullish for the collective market. Further, this was not just an effort to shrug off “sideways bears,” but instead, two key levels were broken in order to usher a collective market rise and sustain BTC bullishness.

Source: Trading View

RESISTANCE

The first, as indicated by eToro’s senior market analyst Mati Greenspan, was the resistance level of $5,350. When Bitcoin began to consolidate following the early April high, Greenspan stated that if the BTC price were to punch above the aforementioned level, it “would likely serve as confirmation that we’re pushing higher and will lead to further buying pressure.”

Greenspan stated that the $5,350 level acted as a major support level throughout 2018. Hence, it is incredibly important that Bitcoin surge above it in the next rise to consolidate buying pressure. Another important point to signal the coming of a bullish market was the 200-day moving average which Bitcoin has stayed above since the April 2 rally.

PSYCHOLOGY

The other significant level for the collective market is Bitcoin’s ascendance over $5,500, which it managed courtesy of this rally. Many, including Greenspan, pegged $5,000 as a key psychological level for the coin and hence, the rise above $5,500 less than three weeks after $5,000 was broken will bring back optimism to the BTC market.



Further, as was seen in the April 2 rise, the Bitcoin pump resulted in the king coin increasing its market dominance. At the close of March, Bitcoin was edging closer to losing the majority. However, the rally saw its share increase to 52.4 percent within a day. Following this recent 4.61 percent increase against the US Dollar, the king coin’s dominance increased to 53.2 percent.

Given the elasticity of the collective market to changes in Bitcoin’s price, the market was awash in green as Bitcoin broke the resistance and psychological levels. Amid this bullish charge, some coins stood out for their above-average gains, which included Bitcoin Cash [BCH], Cardano [ADA], EOS [EOS], Litecoin [LTC], and the exchange-ousted Bitcoin SV [BSV].





Subscribe to AMBCrypto’s Newsletter


Continue Reading

Trending