Bitcoin has today sunk to its lowest level since the beginning of the year as a cryptocurrency-wide market rout continues to cause pain for holders of bitcoin, ethereum, Ripple’s XRP and other major digital tokens.
The bitcoin price fell to a low of $3,563 earlier today, down around 6% over the last 24 hours according to the CoinDesk bitcoin price tracker, before rebounding slightly. Earlier in the week, a bounce in the bitcoin price had led some to speculate the worst was coming to an end for the bitcoin and cryptocurrency market.
Bitcoin is down some 80% from its all-time highs at the end of 2017, a drop which has dragged many other coins down as much if not more, as investors worry long-expected institutional investment in the sector will fail to materialize.
The latest downturn follows a report of Bloomberg analysis of technical data that suggests the bitcoin price could be heading into a “negative pattern.”
The Average Directional Index (ADX) a technical indicator that rises as negative selling trends strengthen, is at its highest level since July, Bloomberg reported. The ADX is currently around 47 and if it crosses 50 it will be the first time it does so this year in a negative pattern, according to Bloomberg.
“There’s little to prevent fading Bitcoin prices from reaching the continuous mean of $1,500,” wrote Bloomberg analyst Mike McGlone in a note, indicating a drop of 60% from bitcoin’s current price…
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