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Bitcoin Price Takes a Nosedive Below $6,500 Level

November 9, 2018 at 20:22 by Arathur Stephen

The green for the potential Bitcoin (BTC) bullish rally is gradually fading away. Before now, investors were getting prepared for an upward move that could see the price of Bitcoin clear the resistance at $7,000. At the moment, however, it seems the light at the end of the tunnel is growing dim based on the gain trimming activity.

Bitcoin Price Declines

After a failed attempt to stabilize above $6,500 level, Bitcoin price is  now on a downward trend into the $6,400 region, and it is becoming increasingly possible that the price will test $6,200, a long-established support level.

At the time of writing, the number one digital currency is trading around $6,400 level with the 24 hours volume of about $254 million according to data from CoinMarketCap. At press time, the coin has a market capitalization of $111.212 billion.

In the past 1 week, the price of the digital coin has moved by $26.87 (0.4215%) with a total volume that is over $1.60 billion. On November 7, 2018, at 04:00 GMT, BTC climbed to the highest price of $6,562 while the lowest price was at the $6,336 level on November 3, 2018, at 15:00 GMT.

BTCUSD Technical Forecast

Bitcoin price recently started a downside correction as it has traded below the $6,500 support against the US dollar. The BTCUSD pair dropped and then broke the $6,475 and $6,440 supports.

However, there was a close below the $6,440 support and the 100 hourly Simple Moving Averages (SMA). The drop was such that the price of the virtual coin exceeded the 76.4% Fibonacci retracement level of the last leg from the $6,370 swing low to $6,553 high.

In the meantime, Bitcoin price is consolidating above the $6,400 support. If buyers appear again, the price may test the previous support at $6,500 and the 100 hourly SMA. Above $6,440, the next resistance is $6,475 and the 50% Fib retracement level of the recent decline from the $6,552 high to $6,382 low.

The price of Bitcoin might trade in a range above the $6,400 support for a couple of sessions before expecting the next move. Nevertheless, it is quite possible that the price of the flagship currency might continue a downward trend towards $6,300 level in the short term.

Atlas Quantum CEO Says: Expect a Range of “$6K-$9K for the Next 6 Months

In other news, Institutional investors are expecting the price of Bitcoin to climb higher as the end of 2018 draws near. Nevertheless, Rodrigo Marques, the CEO of Atlas Quantum, a Brazil-based global investment platform has stated that Bitcoin should not be expected to decline below the $6,000 level as the end of the year approaches. Marques has been quoted as saying:

We continue to see BTC in a consolidation period and don’t expect it to break below a support level of $6K before the end of the year. Right now, large investors are moving into the market in anticipation of a likely move upward but it’s hard to say when that will occur. Expect a range of “$6K-$9K for the next six months.

In the weeks to come, Bitcoin, as usual, will likely lead the markets and its performance within its long-established trading range will possibly make an impact on which direction the entire market heads.

If you have any questions and comments on Bitcoin today, use the form below to reply.

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