Crypto

With more pressing issues on the minds of traders, it seems that media interest and open interest for Bitcoin is weening. Current trading volume in the CME and across other exchanges has been leveling off and although we witnessed a spike today on a daily basis, volume levels on average have been steadily shrinking.

Today we saw Bitcoin futures (BTC) post their 3^rd consecutive gain for the day, currently up $150 or 1.39% as of 4:30 PM EST. Usually, this would be signaling a further bullish trajectory, and although this could be the case here’s why I don’t believe it is as of yet.

Bitcoin futures have been as high as the 50-day moving average and as low as the 100-day moving average. They have dropped from the top of this $900 range and are back towards the high point of the range after bouncing off the bottom at the 100-day M.A. Currently, as of 4:30 PM EST BTC futures most active contract is up just over 1% ($115) at $10,840.

With BTC futures no longer bullish on a short-term technical basis (trading below its 50-day moving average) Bitcoin futures are alluding to further erosion. There is a good chance this decline will take pricing below its recent support at the 100-day moving average and test the critical support area of approximately $9,200.

Today’s sell-off across most major asset classes included Bitcoin as BTC fell to $10,265 at the lows. Since then BTC futures have recovered and currently as of 5 PM EST are trading at $10,505 down $375 (-3.45%) for the session.