Guess what? Bitcoin hasn’t rebounded.
Wait, that’s not entirely true. Over the weekend, it has managed to remain well above the Friday morning lows when it abruptly plunged below $11,000, but on Sunday it headed back below $14,000 and is down more than 10% in the last 24 hours.
More importantly, it’s still sitting down some 30% from the highs hit late last weekend ahead of the CME futures launch.
Here’s an annotated one-week chart with notable events:
“The West is what’s causing this selloff,” Mati Greenspan, senior market analyst at Tel Aviv-based online broker eToro, told Bloomberg, noting an uptick in trading in dollars and a downtick in yen volumes.
The pain is hardly confined to Bitcoin. The entire space is selling off (again). Here’s the heatmap:
And here’s a 24-hour chart:
The prolonged (by crypto standards) decline comes at a particularly critical juncture for the space. Mainstream adoption seems within reach, but every day like Friday serves to raise fresh concerns about the stability of digital currencies and about their viability as anything other than vehicles for speculation.
Also making the rounds (again), is the following chart from Morgan Stanley which the bank has variously suggested could mean that Bitcoin is ultimately worthless:
Meanwhile, Barron’s warned over the weekend that retail investors should avoid Bitcoin futures. “Small traders should avoid bitcoin futures on the Cboe and the CME at least for now,” the newest issue of dead tree weekly reads. “Putting aside the risk reflected in last week’s 40% bitcoin plunge, these aren’t retail-friendly products,” the piece continues.
On the bright side for the bulls, there’s no better contrarian indicator than Barron’s.
Where did you obtain the heat map?