Bitcoin (BTC) is trading on the defensive today, having dropped 16 percent over the last three days. The cryptocurrency closed (as per UTC) at $7,494 yesterday
As of writing, BTC is changing hands at $7,270 on Bitfinex, down 6.5 percent in the last 24 hours, and could extend the slide further to $7,000 in the next 24 hours.
BTC closed (as per UTC) yesterday below $7,787 (61.8 percent Fibonacci retracement) in a convincing manner, signaling a bullish-to-bearish trend change. Note that a break below the 61.8 percent Fib is widely considered a final confirmation of a bearish trend reversal.
The chart also shows a bearish downside break of the falling channel, while the 5-day and 10-day MAs are trending south.
A resulting corrective rally ran info offers above $7,700 earlier today and prices fell to a 6-week low of $7,352 at 08:30 UTC. The failure on the part of the bulls to produce a notable corrective rally despite oversold conditions indicates that bearish sentiment is currently strong.
