Bitcoin (BTC) has been incurring significant selling pressure as of late that has caused significant damage to its technical strength.
This selling pressure is coming in spite of some bullish fundamental developments that have occurred as of late, including the state-sponsored Bank of China offering what can be defined as a bullish outlook on Bitcoin.
Bitcoin Plummets Towards $9,400 and May Drop Further
This downwards pressure is simply an extension of that which was incurred one week ago when the cryptocurrency sharply moved to $11,000 before incurring a sudden influx of selling pressure that sent its price reeling to its current levels.
Analysts are now noting that it is highly probable that Bitcoin continues dropping until it revisits its weekly support level that exists just below $9,000, and a failure to maintain above this price could lead to a significantly deeper pullback.
“The ‘potential’ lower-high looks to be playing out with a price below $9,690. Eyeing price to make its way to sub $9k at the weekly support level to form a lower-low. Just trying to be fluid, not overly bearish as 4-digit BTC is still a gift,” Josh Rager, a popular cryptocurrency analyst on Twitter, explained.
The "potential" lower-high looks to be playing out with a price below $9,690
Eyeing price to make its way to sub $9k at the weekly support level to form a lower-low
— Josh Rager ? (@Josh_Rager) July 27, 2019
Bank of China Discusses Bitcoin in Recent Article with Bullish Undertones
It is no secret that Bitcoin and cryptocurrencies are banned in China and hated by the Chinese government, but a recent article published by the state-sponsored Bank of China explains how the crypto works, and also discusses why its price has been climbing as of late.
Samson Mow, a popular figure and pioneer within the crypto industry, spoke about this article in a recent tweet, explaining that it is bullish for the cryptocurrency.
“Yesterday the #BankofChina posted up an article about #Bitcoin. They explained how $BTC works, why the price is going up, and why it’s valuable. Never thought I’d see that happen. #Bullish,” he said.
Yesterday the #BankofChina posted up an article about #Bitcoin. They explained how $BTC works, why the price is going up, and why it’s valuable. Never thought I’d see that happen. ? #Bullish pic.twitter.com/GKzj7XJjJa
— Samson Mow (@Excellion) July 27, 2019
Although it is unclear as to whether or not this article marks any sort of paradigm shift in the country, it does signal that Bitcoin is still widely viewed as being bullish across the globe, despite its current selling pressure.
Featured image from Shutterstock.