Bitcoin seems to create illusions as its price trend shows an intraday spike, and the coin exhibits a rebound to trade around $5,700. Beyond doubt, the day has been full of shocks and surprises for the crypto traders and the investors worldwide.
On the other hand, we have the pandemic Coronavirus, which is spreading at the speed of light and affecting the markets in return. Therefore, we are seeing two kinds of investor groups viz., the ones who are going short out of panic and the others who are taking the right advantage of the dip.
However, we can’t really predict the outcome until we get the hang of the momentum in the upcoming days. Although volatility is at its peak and is likely to affect even more if the BTC fails to have a real rebound soon.
Bitcoin’s downward stroll happens to be quite a notable move as it influences the gains of other major altcoins to shed devastatingly. On the intraday chart, the current rebound is gaining support from the 50-day MA, while, lacks the same from 200-day MA, and $4,000 is the major support to watch out for. A further dip below $5,000 will turn the trade supper bearish as it is acting as the immediate support. The bears are quite strong as the coin has lost 50% of its value, inviting a recession sooner than we thought. Moreover, Bitcoin price has gained over 48% in less than 6 hours from $3,800 to $5,700, unable to decide whether really or illusionary.
This is the first time in a while I've felt like buying bitcoin. That drop was too much panic and too little reason.
— Edward Snowden (@Snowden) March 13, 2020
Although the trading volume has been one of the variables to check out. With a massive crypto community and crypto lovers, there are many amongst the same who are Buying the dip. These loyalists prefer to HODL instead of feeling a FOMO when BTC gets to its original form.
— Waqas (@Pakicrypto) March 13, 2020