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BTC/USD: Bitcoin Remains near Troubling Support Levels

The price of Bitcoin continues to create perilous adventures for short term speculators as it moves below 30,000.00, while threatening to flirt with even lower values.

BTC/USD is trading a couple of hundred dollars above the 29,000.00 realm as of this morning. After being able to consolidate and provide speculators with a more tranquil environment last week, Friday’s price action saw the 28,800.00 juncture challenged, this as the NASDAQ Composite also suffered a red slash of selling. However, as Friday came to a close Bitcoin recovered some of its value, along with the major indices. Yet, BTC/USD certainly did not create a sudden change of opinion among most traders. Its bearish trend remains the flavor of the month.

This weekend has seen consolidation, but the past day has also brought an incremental decline again into Bitcoin’s trading landscape. This is not your grandparent’s speculative haven, BTC/USD trades all day and every day, there are no vacations. While this allows short term wagers for folks who need to feel the thrill of price action at all times, it also allows the same people to watch their money evaporate into thin air just like at a Las Vegas casino.

As BTC/USD hovers dangerously close to the 29,290.00 vicinity this morning, traders who lean towards technical perspectives and have long positions will likely not want to see Bitcoin break below the 29,000.00 price. Weekend trading for Bitcoin over the past handful of months, and for most of the major cryptocurrencies, has been a battlefield which has witnessed some of the strongest selling action during this long bearish trend which began in earnest November of 2021.

If the 28,800.00 price range were to begin having its values tested once again, this would not be a welcome sight for short term bullish folks who simply refuse to be short sellers. Long term holders of Bitcoin might relish what they consider lower prices and exclaim the digital asset needs to be bought. Folks like Michael Saylor may see current prices as a buying opportunity for his corporate treasury at MicroStrategy, but losses are mounting for many people and if Bitcoin continues to struggle the question arises if long term believers of Bitcoin may have to capitulate to create cash flow that has suddenly been hurt.

Short term traders need to contemplate the trend and the dangers that Bitcoin poses. Folks who decide to use leverage and are looking for dramatic price changes need to be braced for bad outcomes if the direction of Bitcoin goes against their wager. The choice of the word ‘wager is not a mistake, Bitcoin is a betting environment for day traders – simple as that. Yes, the right direction may be chosen periodically, but trading BTC/USD is not an endeavor which should be treated without careful consideration.


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