Bitcoin unexpectedly rose by 8% in just three minutes earlier today as bullish sentiment begins to re-enter the cryptocurrency markets.<\/p>\n
Following an abrasive daily candle close which saw Bitcoin suddenly drop from $7,300 to $7,100 yesterday evening, it consolidated today at $7,200 before surging towards the $7,800 level of resistance.<\/p>\n
The dramatic rise from $7,200 to $7,800 saw a total of $59.71 million in short positions liquidated on derivatives exchange BitMEX, according to Datamish.<\/p>\n
Price has now began to consolidate in the $7,500 region, which could fuel a continuation rally back to the $8,000 region.<\/p>\n
However, the 100 exponential moving average (EMA) on the four-hour chart has been a bitter point of resistance on three occasions over the past month, and that level will need to be broken before an extended rally can take place.<\/p>\n
The 100 EMA currently lies at around $7,600, while the 200 EMA is at $7,950.<\/p>\n
Its also worth noting that in addition to last months death cross, the 100 EMA is now sloping dangerously towards the 200 EMA, which could indicate that a further downside correction is on the cards.<\/p>\n
If Bitcoin fails to break out above $8,000 over the coming weeks, it would mark another sinister lower high, which would suggest that the ongoing bear market is far from over and that downside price targets of $5,900 and $3,150 could well come into play.<\/p>\n
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The post $60 million liquidated as Bitcoin pumps 8% in three minutes appeared first on Coin Rivet.<\/p>\n
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