Fundamental analysis and financial markets. – Cryptocurrency market records heavy losses – Bitcoin, Ripple, Litecoin and Ethereum may be oversold in the short-term In periods of volatility traders should read the Traits of Successful Traders guide to make sure they stick to market ‘best practice’.
We have recently released A Guide to Day Trading Bitcoin & Other Cryptocurrencies to help traders navigate this volatile marketplace. The cryptocurrency market has suffered another 24-hours of heavy losses as sellers dominate the market, pushing prices through support levels and back towards multi-weeks lows.
In just over two months, the overall market value has fallen from a record $830 billion to a current level of $317 billion and is on course to hit the $279 billion low on February 6. While all the major crypto currencies still look weak – see below – it should be noted that all of them are currently extremely oversold according to stochastic indicator at the bottom of each chart.
This may prompt a small bounce in the tokens before they resume their downward move. Bitcoin’s outlook remains negative in the short- to medium-term with the token back in the downward channel from the December 17 high print.
Fibonacci support at $8523 was broken easily on March 14 leaving BTC vulnerable to further bouts of selling with little in the way of support until the February 6 low of $6000 comes into play. On the upside resistance at $8523 ahead of $9235. Read more from dailyfx.com…
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