A series of negative news has pushed the price of Bitcoin lower. What next can traders expect? OctaFX analysts offered their projections in the following 7 August Bitcoin Price Fundamental Analysis.
7 August, OctaFX – The price of bitcoin has declined following a series of bad news for the crypto sector. This follows weeks of price rises which were spurred on by BlackRock – the world’s largest asset manager – eying the crypto space. Bitcoin reached a multi-month high of $8405 on July 27, 2018. Today, Bitcoin is trading at $6870.
A Series of Negative News Pushes Bitcoin Lower
Last week, renowned blockchain expert, Mike Novogratz, launched the IPO of his company, Galaxy Digital at the Toronto exchange. The shares tumbled by more than 30% during the first week of trading, an indication of scepticism of the cryptocurrency industry.
On Friday, the Wall Street Journal had a big feature on cryptocurrencies and ICOs. In the feature, the paper found that large groups manipulated the price of cryptocurrencies and ICOs largely through pump and dump schemes which leave vulnerable traders holding worthless tokens.
Already, the schemes have cost traders millions of dollars. Such actions within the crypto space are likely to lead to regulatory guidelines somewhere down the line.
7 August Bitcoin Price Fundamental Analysis
The BTCUSD pair is now trading at $6870. This price is below the 50 and 100-day Exponential Moving Average (EMA). The RSI has moved below the oversold level.
Therefore, there is a likelihood that the pair will remain at the oversold level and possibly move lower to test the important support of $6500 as shown below.
This article about 7 August Bitcoin Price Fundamental Analysis was provided by OctaFX . It should substitute for professional marketing consulting. Forex margin trading involves substantial risks. Forex margin trading exposes participants to risks including, but not limited to, changes in political conditions, economic factors, and other factors. All of which may substantially affect the price or availability of one or more foreign currencies.