Bitcoin price has been in a downward trend for the past five days, and it all started with a head-to-shoulder model. Bitcoin price was slightly above $ 9 thousand in previous days, dropping down to around $ 8,700. According to CoinMarketCap data, at the time of writing, the leading crypto currency was trading at $ 8 thousand 928.
Bitcoin price has dropped, but more importantly, the currency is currently out of the rising channel and may be vulnerable to a negative correction. The disadvantageous targets in the possible correction are $ 8,000 and then $ 7,000. The actual 10-day volatility dropped to 60 percent, which is happening at one of the lowest levels in the past three months.
A new decline may occur
However, support levels remain strong at the $ 8,000 level. The possibilities are now seen below the strong support that is in the range of 7 thousand 800 dollars. Whales also accumulate large amounts of Bitcoin, while such movements could push the market upwards. The fix involves the possibility of reducing the cryptocurrency to a new level near the $ 7,000 level, while it can also return the cryptocurrency from the downtrend. If a decline occurs, after China’s digital Yuan launch, the situation can be very bad not only for cryptocurrencies but also for the global economic situation.