As the crackdowns in China continue leading to the biggest drop in mining difficulty in history. According to Cointelegraph, “In four days, the difficulty will adjust down by an estimated 23.24% — something which has never happened before in Bitcoin’s lifetime.”
Bitcoin futures are trading lower by $2600 or (7.44%) at $32,365 as of 4 PM EDT. This puts the price back below the 200-day moving average. Today’s candle is almost identical to Monday’s candle with basically the same high and low, and bodies of the candle end at the same area, right around $32,750.
After Hitting a high last week of $40,000 on Tuesday, Bitcoin futures have been in a defined downtrend. Last Tuesday is also when the death cross between the 50- and 100-day moving average occurred, providing the technical data for the selloff.
Considering the recent fall that we have seen in the precious metals and other sectors of the financial markets along with a higher dollar, BTC futures are holding up rather well. Since yesterday’s press conference with Chairman Powell and the renewed dot plot was released, many sectors, especially the safe-havens sold off drastically.
Bitcoin futures are trading unchanged to fractionally higher on the day at $40,250. It was exactly one week ago today when BTC traded off the bottom of its range at roughly $30,000, which is the .618% Fibonacci retracement ($30,790).
