However, in a swift, Bitcoin nosedived from its key level of $7,700, flunking around its support to trade as low as $5,578 further receding south, shedding 17% in one hour.
The stock market faltered when President Trump in his latest address revealed suspending all flights from Europe to the U.S in response to the coronavirus. (This flight ban does not apply to goods). In the news wake, the S&P 500 (ES) and the Dow Jones (YM) futures plunged.
Bitcoin’s Technical Outlook: Bottoming in View?
Though the macro outlook looks gloomy as seen by the rise in coronavirus incidences globally, and the fears of global recession from the stock crash, an analyst sees BTC returning to $4,000 while others, however, believe that all hopes are not lost for the asset as they see an imminent bottoming.
Other traders too believe BTC is going to recover to $7,700 support level which is of the essence to miners. Some analysts see BTC finishing off the Wyckoff Accumulation pattern seen late December to early January which may spur a comeback near $8,500.
Image Credit: Shutterstock