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Bitcoin is on track to post its biggest weekly loss of 2019, having found acceptance below key support for the first time in nearly six months.

The top cryptocurrency by market value is currently trading at $8,030 on Bitstamp, representing a 20 percent drop from this weeks (Mondays) opening price of $10,022. That is the biggest weekly loss of 2019 assuming prices remain at similar levels until Sundays UTC close.

The biggest loss of 2019 so far was a 13 percent fall back in the second week of January, so any greater loss this week would be the most severe of the year to date.

As seen above:

The latest two-figure drop, though, indicates the bull market from Aprils lows near $4,000 has ended and the sellers have regained control.

Its worth mentioning that the cryptocurrency has found acceptance below the 200-day MA for the first time since April 2. The breakdown of the long-term support has further confirmed a bullish-to-bearish trend change. The average is currently located at $8,352.

All-in-all, a corrective bounce, if any, over the weekend will likely be short lived and the cryptocurrency could close below $8,719 on Sunday, confirming the biggest weekly loss of 2019.

BTC has dived out a narrowing price on the weekly chart, confirming a bearish reversal.

The 14-week RSI has dipped below 50 for the first time since the end of March. A reading below 50 indicates bearish conditions.

The MACD histogram is producing deeper bars below the zero line, also indicating a strengthening of bearish momentum.

On the 4-hour chart, the RSI has produced higher lows, indicating scope for a corrective bounce. Further, the 14-day RSI is reporting oversold conditions with a sub-50 print.

Hence, a minor bounce, possibly to levels above the 200-day MA at $8,352 cannot be ruled out.

The daily chart, however, is biased bearish.For instance, the MACD is indicating strong bearish momentum, and the 5- and 10-day MAs are trending south. These averages currently located at $8,553 and $9,337 could offer strong resistance.

Recovery rallies, if any, could be reversed, possibly leading to a deeper drop to $7,500. The bearish setup would be neutralized only if prices rise above $9,097, as discussed yesterday.

Disclosure:The author holds no cryptocurrency assetsat the time of writing.

Bitcoinimage via CoinDesk Archives;charts byTrading View

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Bitcoin Approaching Biggest Weekly Price Loss of 2019 - CoinDesk