The world's #1 cryptocurrency, Bitcoin, has seen a notable change of character this week after nearly reaching the vaunted $20,000 level:
Previously dips had only lasted for a few hours, or up to a day maximum. The current pullback is now on its 4th day and Bitcoin is exhibiting the first real signs of distribution (aggressive and steady selling) we have seen in months. The $16,000 support level has been breached and the next major area of support is near $13,000.
One of the factors which has supported Bitcoin's recent ascent has been the strong and steady price gains which have served to encourage new participants to jump aboard the cryptocurrency bandwagon. It will be interesting to see what happens when Bitcoin's price has been moving in reverse for a week or more, will the new crypto-converts continue to pour money into the space or will they begin to lose confidence?
DISCLAIMER: The work included in this article is based on current events, technical charts, and the author’s opinions. It may contain errors, and you shouldn’t make any investment decision based solely on what you read here. This publication contains forward-looking statements, including but not limited to comments regarding predictions and projections. Forward-looking statements address future events and conditions and therefore involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements. The views expressed in this publication and on the EnergyandGold website do not necessarily reflect the views of Energy and Gold Publishing LTD, publisher of EnergyandGold.com. This publication is provided for informational and entertainment purposes only and is not a recommendation to buy or sell any security. Always thoroughly do your own due diligence and talk to a licensed investment adviser prior to making any investment decisions. Junior resource companies can easily lose 100% of their value so read company profiles on www.SEDAR.com for important risk disclosures. It’s your money and your responsibility.