Bitcoin sheds $400 in early U.S. trade
Digital currency prices slumped in early New York trading as the price of the No. 1 digital currency continues to face headwinds above $7,000.
The price of bitcoin fell from above $7,150 to a low of $6,705.78 in just over two hours, in early U.S. trading hours, erasing all previous gains. A single bitcoin was last exchanged at $6,722.97, down 4.3%, making it the worst performing major digital currency today.
“It remains the technical story [sell pressure above $7,000], we have not seen any change in the fundamentals despite the move lower,” said Mati Greenspan, senior market analyst at eToro.
Greenspan added that the majority of the morning’s selloff was on Western exchanges. “There was very little out of Japan or South Korea.”
Ethereum showing signs of life?
Ether, which was the worst performing major digital currency in March, is showing some signs of bottoming says one technical analyst. After dropping below $400, this support level is now resistance and as it struggles to make another push lower, longs may soon have something to cling on to.
“Over the past several days, it [Ether] has consolidated tightly around $400 and now it looks like it wants to push higher,” wrote Fawad Razaqzada, technical analyst at Forex.com.
“Granted, no technical breakthrough has yet been achieved by the bulls, but this is nonetheless a tentative bullish sign which points to waning selling pressure.”
The price of Ether remains around the $400 level, last trading at $398,55, down 0.3% on the day.
Futures and altcoins
Bitcoin has weighed on other digital currencies. Bitcoin cash is lower by 2.2%, last trading at $639,44, Litecoin is down 2% at $115.04 and Ripple is at 49 cents, down 2.4% on the day.
Despite the cash selling, futures remain in positive territory. The Cboe’s April contract is up 2.2% at $6,750 and the CME Group Inc. April contract is higher by 2% at $6,760.