Bitcoin moves back down toward the 100 day moving average on China bitcoin comments
24 Sep 2021
The price dipped back below the 100 day moving average at 40890.13 but has seen some modest that buying.
China reiterated their objections to crypto saying that “all crypto related transactions are illegal in China”. That remains a strong statement.
That put a scare in the market and the price started to rotate to the downside. The low price for the day reached $40693.27. That took the price briefly below its 100 day moving average at $40890.13. The price has since moved back above that level.
Earlier this week, the price did extend below that moving average falling to a low of $39,573, but the momentum could not be sustained. On Wednesday and Thursday we saw increased buying interest, but the price could not reach its 200 day moving average up at $45,692.56.
So what now?
It would take a move back above the $42,900 area to $43,400 level now to give the buyers some added confidence (some swing levels). Failure to do that and sellers hold the advantage.
A move below the 100 hour moving average at $40,890 – and stay below – increase the bearish bias and have traders probing to the downside.