How long will Bitcoin’s Resilience last?
Bitcoin futures closed down today by approximately 1.8% at $6,355. Today’s lower pricing took Bitcoin back below the .78% retracement at $6,342 which it was able to regain footing above in the last few minutes of trading. This is the third day we tested this key level and BTC was able to close above it all three occasions.
Two things are evident by today’s action. First that if Bitcoin futures were to move out of its current range ($5,700 - $6,700) it would likely be moving to lower pricing. And second, that the current range bound scenario is still strongly intact.
This week so far in BTC futures has proven that even with ties to equities markets BTC may be diverse enough to hold up better than equities in the coming month of hardships that the entire world is facing regarding the current covid-19 pandemic. Now 95% of the world is practicing social distancing and the effect that will have on the economy as a whole are still largely unknown.