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BTC - How far will we drop?

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@jrcornel
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Bitcoin is breaking support levels and there are no bounces to speak of, yet

Bitcoin fell out of bed the last couple days and there doesn't appear to be a strong support level in sight, at least not yet.

The volume has been large and all risk assets have been falling by similar amounts.

All except for gold.

Interestingly enough, bitcoin is back to trading like a risk asset as opposed to a safe haven asset.

I guess it just depends on which week it is.

Anyways, bitcoin is at a critical point long term. There is a long term trend-line right around the current levels.

It's held up for the last 7 years:

(Source: https://coingape.com/bitcoin-btc-bulls-on-long-term-trendline-support/)

If that were to break, we likely would see a lot more selling.

I am cautiously optimistic that this ends up being the bottom...

We have numerous bullish events in the background, but right now, the coronavirus and spillover selling from the stock market is trumping everything.

Oil being down 30% on the day was another black-swan type of event that not many saw coming.

It may take some time for all this to sort out, but I do know that prices will start going back up long before the situations are actually under control.

Meaning, I think prices will start going up long before the coronavirus is completely managed, etc.

I took this opportunity to start nibbling on some more bitcoin, especially as we are right at a long term trend line, but I am not backing up the truck just yet.

Stay informed my friends.

-Doc