The bitcoin massacre took a pause Tuesday, with the best-known digital currency trading marginally higher.
In early trading, a single bitcoin
was last changing hands at $3,685.64, up 0.2% since Monday’s level at 5 p.m. Eastern Time on the Kraken crypto exchange.
After a dire stretch for bitcoin, one chart observer said signs point to a potential bottom around current levels. “After dropping in excess of 40% in the last two weeks, with very little news to drive the move, bitcoin is trying to build a base around the $3,500 – $3,700 level in the last three days,” wrote Nick Cawley, markets analyst at Daily FX.
“While the longer-term chart setup remains negative, with a test of $2,970 likely—in the short-term the charts are showing the cryptocurrency heavily in oversold territory, which may produce a relief bounce higher,” he added, citing the relative strength index (RSI).
The RSI is a technical indicator that measures the magnitude of recent price movements to assess whether an asset is oversold or overbought.
Altcoins, the group of coins other than bitcoin, are marginally lower to begin Tuesday. Ether
was down 1.6% at $102.55, Litecoin
was off 0.2% at $28.91, XRP
the coin that runs on the Ripple protocol, was down 0.3% at 34 cents and Bitcoin Cash
was trading down 0.4% at $168.70.
After tumbling more than 10% on Monday, futures markets are steady Tuesday. The Cboe Global Markets December contract
is down 0.6% at $3,625 and the CME Group November contract
was up 1.8% at $3,675.
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