Bit-comment: Bitcoin has settled and tries to grow

Bitcoin settled around $7,100 and started to grow. Investors wanted to make sure that the sell impulse dried up before they started buying. Bitcoin rose by 5% in the last 24 hours and traded around $7,600. The technical indicators showed that the benchmark cryptocurrency was oversold, which provoked a rebound. Nevertheless, it is difficult to say for sure that the growth will continue for a long time, as fundamentally, there are no unique support factors. Moreover, the price remains below the 200-day moving average, which indicates the dominance of a downward trend.

As before, the main contribution to the dynamics was primary speculative interest. It is quite likely that institutional investors will intensify demand in the first cryptocurrency after such a massive decline. The situation may change dramatically in either direction based on factors such as “Chinese FOMO”, which makes the market irrelevant for retailers at the moment. Nevertheless, we saw several attempts: Bitstop installed 5 BTC ATMs in the U.S. network of shopping centres Simon Malls before “Black Friday”.

The FxPro Analyst Team