Bitcoin’s technicals are in rough shape after its spectacular tumble last week and a recovery might take months, according to Fundstrat Global Advisors LLC.
The largest cryptocurrency is trading about 40% below its mid-February high, with a particularly notable drop between March 12 and 13, when it lost more than $3,000 in about 16 hours. Now it has broken below its 2015-2020 uptrend, leaving its price action “badly compromised,” according to technical strategist Rob Sluymer. This has all been happening as assets from stocks to bonds and currencies struggle to factor in the huge hit to global growth coming from the coronavirus.
