Yesterday, the capitalization of the crypto market fell by $ 16 billion in one trading session. Bitcoin dropped from $ 6050 to a round mark $ 6000. However, capitalization decrease in Bitcoin turned out to be insignificant. The market has lost only $ 6 billion in capitalization. Last time quotes visited this area in mid-September 2018. The local minimum zone $ 6000 is considered to be a strong level of support for the market.
The following fact is interesting. Technically, the consolidation exit in a southern direction was evident on Bitcoin charts at the beginning of this week. But the massive drop in the crypto currency market coincided with massive sale-off in US equity markets.
The correlation between the crypto market and leading US stock indices is an interesting but rare market trend. The second time this year, the crypto market falls along with the stock market. The last time this happened was in February 2018.
According to FORTFS analysts, a bitcoin decline in the $ 6000 range is not only expected, but a rather positive sign. First, it is widely expected that Bitcoin will keep its price above $ 6000 dollars, and these are extremely attractive levels for medium-term longs for institutionals and independent traders. Secondly, to overcome a strong resistance zone $ 6600- $ 6750 the area that prevented market from going higher during 5 weeks, the market needs a free zone, or so-called overclocking space. We expect that a powerful upward mid-term impulse will be formed right in the region $ 6000- $ 6100.