Bitcoin Price Breaks Support on Libra Headlines

Bitcoin price broke below the 100 WMA hours before Facebook CEO Mark Zucnkerberg appeared in front of Congress to testify Facebook’s cryptocurrency project Libra. The next major support is located just below the $7,500 handle, right where the current market price is.

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The increased regular scrutiny of the cryptocurrency ecosystem hasn’t helped Bitcoin prices, which flushed lower yesterday in the anticipation of Zuckerberg’s testimony in front of Congress. Yesterday’s high of $7293 represents the new 5-month low for the world’s largest digital coin.

“ Selloff is a continuation of the themes that have been plaguing crypto for the past few months — increased regulatory scrutiny,” said Jeff Dorman, chief investment officer at Arca.

During the testimony, Zuckerberg faced difficult questions and allegations including that Facebook’s new project will be used by for “money laundering and terrorism”.

“You’re going to be making powerful burglary tools and letting your business partners commit the burglary,” said Rep. Brad Sherman.

Anticipating the tough afternoon for Zuckenberg, Bitcoin fell to the new 5-month low just hours before the testimony started. The bears finally managed to break below the 100 WMA at $7741, just to find the support at the next horizontal support, that played an important role in the past, around the $7450 handle.

Besides, the 61.8% key Fibonacci retracement of the December 2018 – July 2019 move higher sits at $7240.

 

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