BTC has dipped back under $10k as the Bakkt bounce fizzles out, with bears seemingly taking control of the market once again. It tried to cross $11,000 twice Monday but failed on both occasions, eventually giving up the battle in the early hours of Wednesday and dropping as far down as $9,760 later that day with the potential for a lower dip. We suggested back at the start of August that BTC could be in for a downward spell coming off its failure to crack $14,000, and so this has proved, with no sign as yet of how long the recovery will last.
Downward Trend Continues
In terms of the general trend, the MACD, which was just days away from crossing bullish, has now spread further apart, suggesting we’re in for a few more days of negativity and consolidation before turning the corner again. This week’s collapse has seen Crypto Twitter flip bearish once again with calls for $7,400-$8,800 suddenly commonplace, although the macro trend is still bullish once this dip is over.
$BTC – $8.5k – $8.2k is where I’ll be buying more spot Bitcoin.
As you can see from past interactions , this will be a very important level to hold as Support on High Time Frames.
— UB (@CryptoUB) August 21, 2019
Hate to break it to you guys, but Bitcoin has broken its bullish trend and was then rejected from regaining that same trend. Now it is sitting on support before a potential move down. People that are still hoping for a rally to ath are likely going to be disappointed. $BTC pic.twitter.com/1E59xknv3z
— Beastlorion (@Beastlyorion) August 21, 2019
In a sign of just how desperate the market feels, the Crypto Fear and Greed Index is at an all time low of 5 – lower than any point during the entire 2018 bear market. Normally this would represent a prime buying opportunity, but with BTC looking far from strong there is a chance we could dwell in this area for a while longer.
Possible Alt Coin Window Opening Up
Despite all the doom and gloom, there may be some good news for alt coin speculators, with a couple of coins breaking out compared to BTC and another couple of potential setups doing the rounds:
Expect them to outperform in the short-term
— Luke Martin (@VentureCoinist) August 22, 2019
— CJ (@IrnCrypt) August 22, 2019
These alt bounces are not for the faint hearted however, and most players at the crypto casino would be better off sitting out the game until the picture becomes clearer as the week comes to a close. With BTC in an uncertain place, and the possibility of a Bitcoin Special $1,000 candle, there is more chance of getting rekt than getting out with profits right now, unless you really know what you’re doing.