Categories: Market Overview

Bitcoin Price Drops to $6.1K Shortly After Equities Markets Close Red

After trading in the $6,450 to $6,850 range for the past eight days, Bitcoin (BTC) price finally made a larger move, this time to the downside, as the digital asset dropped 8.72% to a daily low at $6,068.

The move somewhat mirrors the performance of traditional markets, which also closed the day with losses. The Dow closed with a 915 point loss, the S&P 500 pulled back 3.37% and the Nasdaq was down 3.79%.

The break below $6,550 pulled the price below the ascending trendline and the $6,450 support. Traders had anticipated that a sharp move was on the cards after the price had traded sideways on declining volume for the majority of the week, also failing to push above $6,850 and flip the resistance to support.

At the time of writing the price sits atop the 12-MA (daily timeframe) and traders are attempting to recapture the $6,200 support. If this effort fails then a retest of $5,800 and $5,350 is possible. Over the short term, Bitcoin price needs to first retake $6,200 then push above the high volume VPVR node at $6,335 in order to re-reach the $6,500 range.

Earlier this week, Cointelegraph contributor filbfllb commented that the likelihood of Bitcoin price reaching $10,000 before May is slim to none. filbfilb explained that: “Bitcoin is trading up against what is a fundamental decision point at $6.8K. This is previous support now acting as resistance and the top of a high volume node which is dissected by a diagonal resistance trend line, which dates back to mid-2019.”

According to filbfilb, Bitcoin price is approaching a pivotal moment and: “If the bulls are unable to regain the $6,800 level, the 200-week moving average is lying below at around $5,500 on a high volume node, which was previously front run in the last attempt to break $6,800. Should the bulls find their feet again, diagonal support will be found at $6,250.”

Bitcoin Price Drops to $6.1K Shortly After Equities Markets Close Red, CoinTelegraph, Mar 28

The FxPro News Team

This team of professional journalists announces the most interesting and influential articles from the major financial media as a brief summary. All such news may have sufficient potential to affect the course of trading assets.

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