Skip to content

Heavy selling pressure drags BTCUSD below $8.7k leaving Bitcoin investors dumbstruck

With approximately around thirteen hours left for the BTC halving, much to the utter surprise of the investors, BTC dropped b
With approximately around thirteen hours left for the BTC halving, much to the utter surprise of the investors, BTC dropped below $8,700.

Optimism and anticipation surrounded Bitcoin since the beginning of the year. Even after its massive drop on March 12, investors were anticipating a spectacular move post the halving.

However, just three days before the May 12 halving, BTC shot past $10,000. More and more investors started pouring in. Now with only a few hours left for the halving, BTCUSD is struggling at $8,662.41.

Heavy selling and profit booking pulled down the BTCUSD

bitcoin price btcusd

Let us take a look at the BTCUSD daily chart. Source: TradingView.com

The spike in the volume came with a large red candle. It indicates the presence of selling pressure. With the halving knocking at the door, this dominating bearish presence is awful news for all Bitcoin investors.

The Relative Strength Index or RSI is currently bearish. The downward crossover of the MACD line is another bearish signal.

The Exponential Moving Average at $8,463 would act as a support in case BTC starts dropping further. However, if this support breaks, the next one lies just above $7,600.

Is it really different for Bitcoin this time?

Historically, BTCUSD prices increased manifolds after each halving. But this time, the prices seem to be dropping just before the halving. All the selling pressure would make one wonder whether things are indeed different this time.

In the trading universe, the trend is usually a friend. However, with so many people selling Bitcoin just before the occurrence of the final leg of a trend is scary. If that’s the case, several analysts claiming BTC’s epic rally could be horribly wrong.

The performance of the Dow Jones and S&P 500 could have a positive impact on BTCUSD, as the US markets open later.

Latest