- The bitcoin price crashed through another vital support level on Thursday.
- BTC has now plunged nearly 50% from its mid-year zenith.
- A legendary bitcoin trader says that this time, it’s “dying” for good.
The bitcoin price crashed through another vital support level on Thursday, hastening a decline that has seen the leading cryptocurrency fall nearly 50% from its yearly high.
Bitcoin has recovered from these punishing reversals before, but one legendary trader predicts that this time will be different.
Bitcoin Price Dives to 4-Week Low
Though just six months ago, June 2019 must seem like a distant memory to cryptocurrency investors. Riding the wave of Libra fever, the bitcoin price spiked as high as $13,880, and some bulls thought BTC could end the year at a new all-time high.
That rally has all but evaporated in the months that followed. While bitcoin’s year-to-date gains remain fantastic, they’ve rapidly unraveled since BTC briefly reclaimed the $10,000 handle four weeks ago.
On Thursday, the bitcoin price careened as low as $7,394 on Bitstamp, notching a 10% decline from the previous day’s high above $8,200.
Bitcoin has now completely erased the late October surge that seemed to follow China’s sudden embrace of blockchain technology. But whether the product of a misguided belief among retail investors that Beijing would soften its stance on public cryptocurrencies or just another orchestrated pump, that rally has entirely disappeared.
Bitcoin now sits at a four-week low.
Even more concerning is that the tumble forced the bitcoin price below its 200-day moving average (DMA), a closely-monitored technical indicator that almost always screams, “Sell!” Unless assets quickly regain that level, the 200-DMA will transform from…