Tanya Abrosimova
Independent Analyst
- Bitcoin managed to recover from critical $7,300 handle.
- Too many regulators and too little institutional money press crypto down.
Bitcoin price fell below $7,300 handle before the recovery took it back above $7,600. The digital currency No. 1 is changing hands at $7,618, marginally unchanged on the day. On daily basis Bitcoin price lost %%, while market value settled at $129B.
Looking technically, BTC/USD found support at the lower line of the triangular formation around $7,300. If the rebound is confirmed, we may expect the price to go return to $9,000 and possibly $9,400. If this happens, bulls may claim short-term victory. On the downside, a sustainable movement below the mentioned support, the sell-off will gain traction with the first aim at $7,000 followed by $6,483 (April's low).
According to Brian Kelly from CNBC, the cryptocurrency carnage is caused by a combination of reasons, including regulatory uncertainty, lack of institutional money and high volatility. We will witness the change in sentiments once the market calms down and come to an understanding that regulators are doing their job by weeding out bad actors and curbing manipulations. At the same time, institutional investors are waiting for clarity from regulators before joining the game.
BTC/USD, the daily chart
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