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Why Did Bitcoin Break Down From $9,000, and Where Is It Heading?

Published 10/02/2019, 04:48 PM
Updated 10/02/2019, 05:01 PM
© Reuters.  Why Did Bitcoin Break Down From $9,000, and Where Is It Heading?
BTC/USD
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As Bitcoin’s (BTC) price floats in the waters of uncertainty in the low $8,000 range, one might wonder how crypto’s largest asset found itself at the bottom of a steep drop after its exuberant price rise from $3,330 to $13,880 earlier in 2019. One explanation could be that the move was simply the market’s reaction to a chart pattern many experts had their eyes on for months.

After its June 26 price high at $13,880, Bitcoin formed a descending triangle, followed by multiple months of consolidation. Near the end of the pattern the digital asset plunged from $9,700 to $8,000, a $1,700 drop in a single day. Bitcoin’s Sept. 24 tumble also occurred just one day after Bakkt launched its physically-settled Bitcoin futures product.

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