The news background of the beginning of the week makes Bitcoin stick to a downward channel. “Digital gold” is now in the red zone at the rate of $3488 with a significant change of -3%. The worst dynamics of trading among the most popular cryptocurrencies was shown by Bitcoin cash, it is trading at the mark of $111 with a change of -10.92%. In addition, it is worth considering that Bitcoin price chart has consolidated below the key mark of $3,575. This, in turn, is a negative signal, as it provokes market participants to sell further.
The market capitalization of cryptocurrency holds at $114.55 billion. This, in turn, suggests that there is currently no money among market participants to buy cryptocurrency. Therefore, we note the priority of the “bear market” throughout the week.
News “put pressure” on the market
The news background had a strong influence on the course of trading this time. It became known that the market capitalization of Ripple is twice overpriced. It is noteworthy that a popular resource CoinMarketCap estimates the company’s capitalization at $13 billion. The company itself declares a sum of 6.9 billion. This, in turn, has become a decisive force in favor of a steady decline of Ripple.
The next negative news was the statement of the head of Van Eck Associates. Jan van Eck has let the public know that large bidders are selling bitcoins in favor of gold purchases. Additionally, the head of the investment fund said that the year of 2019 will be focused on the “yellow metal.”
BTCUSD (H4): Influenced by sellers
Bitcoin has consolidated below the key support of $3,575. The price chart is now above the two-week minimum – this emphasizes the general mood of reducing the cryptocurrency market. If Bitcoin overcomes the level of $3460, there will be a signal to sell up to $ 3224.
In general, there is a negative situation in the cryptocurrency market. Negative news background greatly affects the course of trading.