Bitcoin Falls, but Not Under $410

By the beginning of the week the Bitcoin has been growing and reaching new highs for the year. However, we warned our readers that the majority of the technical indicators were signaling that the price may fall. That’s exactly what happened today, when the value per coin dropped around $418, after hitting $446 on Friday.

Therefore, many segments have changed over the past two days and traders are once again worried whether this is a one-time price decrease or something that will last for weeks.

Bitcoin Popularity Always Grows in Countries Facing Financial Issues

At least, the world of Bitcoin didn’t suffer too much from the recent price drop and we had a chance to witness a pretty eventless two days. The only thing that managed to get people excited was the news that Japan, reportedly, was considering to regulate the cryptocurrency and treat it as real money. If that happens, that would be great for a country that last time paid attention to the Bitcoin in 2014 when the government decided to treat it neither as currency nor bond.

Another interesting article that shows how countries in trouble turn to Bitcoin focuses on the growing popularity of the cryptocurrency in Venezuela. As global media are speculating that the country is on the brink of an economic collapse, the Bitcoin is becoming the preferred payment method to Venezuelan entrepreneurs. The situation in the Land of Grace is another proof that people believe the cryptocurrency more than their national currency; that was the case we saw with Greece several years ago and something similar happened in China last year as well.

Day’s Range Between $420 and $412

The bad news this Wednesday is that the Bitcoin price fell; the good news, however, is that it didn’t go under $410. The day’s price range moves between $420 and $412, with the latter being the lowest value for the currency in the past 24 hours. The high, on the other hand, in the 24-hour period was $426.16. These numbers are both positive and negative, depending on which aspect you focus on. Nonetheless, we have a right to be happy that Bitcoin remained over $410 at least.

The volatility today is set at 51.04% and we can note a decreased volume of $61,234,300 (7,761). A sharp change in volume usually signals a price change as well; since this is not much different than Monday’s value, we can conclude that any possible changes up or down won’t be drastic. The market cap is still over $6.4 billion, while the 24-hour price change expressed in percentages is -0.97%.

Moving on to the indicators and averages, we can see that now the majority of them send a strong sell signal. In comparison to Monday when all averages were pro-buy, less than 48 hours later only two have kept their stance; on the other hand, ten averages recommend traders to get rid of their coins.

A total of seven technical indicators (RSI, MACD and ROC included) send a strong sell signal this Wednesday, while two remained neutral. Only two indicators, those are STOCH and ADX, point out buying as the better option.

With all this in mind, it’s once again a challenging mission to confidently say that the price of the Bitcoin will either grow or fall. There are, however, more indicators that the value per coin will probably decline by the end of the week, even if the drop is almost insignificant.

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