Having lost this point during the news-driven massacre on the cryptocurrency market worth at least $180 million yesterday, the price of Bitcoin briefly found itself as low as $58,946, according to the Binance chart.
However, buyers showed their hand, and over the next 12 hours, this imbalance, as they see it, was restored, with Bitcoin now trading as high as $61,200.
It is interesting to note the divergence between what is happening on the price chart of Bitcoin and the sentiment of market participants as, according to the Fear and Greed Index, we are now entering the period of the latter, with a figure of 32 on the radar of this popular indicator.
On the other hand, Bitcoin was able to regain important local price levels and was supported by buyers. Is it really a divergence, and while fear prevails, the bravest take advantage? What’s more important – price action or market sentiment?
Without getting too philosophical, the only thing that matters is where Bitcoin goes next. There are really only three options: a march toward the dynamic resistance level currently at around $65,000, a further drop below $60,000 or a prolonged sideways chop that will eventually lead us to the first two options.
This article was originally published on U.Today
Source: Cryptocurrency - investing.com
