Bitcoin Technicals: Trouble on the Horizon

The price of bitcoin has fallen by about 50% since December. In recent months, regulators around the world have stepped up scrutiny of digital currencies and related assets, including some blockchain investments.

According to coinmarketcap.com, the market capitalization or value of all digital coins stood at $310.4 billion early on Thursday morning, down from $372.9 billion a day before.

The pennant pattern is useful in suggesting that when it does end, historically a large move takes place. Bitcoin bulls need to keep a close eye on support line,” according to ETF Daily News. “Should it give way, selling pressure could really come forward and push it a large percent lower in price. Bitcoin bulls would receive outstanding news if it breaks above falling resistance line, as it should attract buyers.”

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