{"id":114436,"date":"2020-11-18T10:19:02","date_gmt":"2020-11-18T07:19:02","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/why-bitcoin-price-just-flash-crashed-6-after-rejecting-at-18-5k\/"},"modified":"2020-11-18T10:19:02","modified_gmt":"2020-11-18T07:19:02","slug":"why-bitcoin-price-just-flash-crashed-6-after-rejecting-at-18-5k","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/why-bitcoin-price-just-flash-crashed-6-after-rejecting-at-18-5k\/","title":{"rendered":"# Why Bitcoin price just flash crashed 6% after rejecting at $18.5K"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_84 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a2578375cde9\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a2578375cde9\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/why-bitcoin-price-just-flash-crashed-6-after-rejecting-at-18-5k\/#Bitcoin_confirms_185k_as_a_key_near-term_resistance_area\" >Bitcoin confirms $18.5k as a key near-term resistance area<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/buradabiliyorum.com\/en\/why-bitcoin-price-just-flash-crashed-6-after-rejecting-at-18-5k\/#What_happens_next\" >What happens next?<\/a><\/li><\/ul><\/nav><\/div>\n<p>&#8220;<strong># Why Bitcoin price just flash crashed 6% after rejecting at $18.5K <\/strong>&#8221;<\/p>\n<div class=\"post-content\" data-v-5a136f3a>The price of Bitcoin (BTC) dropped sharply after <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/download-scripts-themes-apps\/\" data-internallinksmanager029f6b8e52c=\"9\" title=\"Download Scripts &amp; Themes &amp; Apps\" target=\"_blank\" rel=\"noopener\">app<\/a>roaching $18,500 on Binance and Coinbase. The plunge took place as large sell orders were spotted on both spot and futures exchanges.<\/p>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2020-11\/9de8dfdc-88d6-4b91-af09-3de4be08e0dc.png\" alt=\"\" title=\"\"><figcaption style=\"text-align: center;\"><em>BTC\/USD 15 minute chart. Source: TradingView.com<\/em><\/figcaption><\/figure>\n<p>As\u00a0Cointelegraph previously reported, traders anticipated a pullback as the price of BTC neared the $18,000 to $19,000 resistance zone. Upon its first retest of the area in nearly three years, the market saw a strong reaction.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Bitcoin_confirms_185k_as_a_key_near-term_resistance_area\"><\/span>Bitcoin confirms $18.5k as a key near-term resistance area<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>There are two main reasons why Bitcoin saw a swift drop near $18,500, and this caused other cryptocurrencies like Ether (ETH) to correct even harder.<\/p>\n<p>First, the $18,500 level remains the biggest resistance level before a new all-time high above $20,000. Hence, it is a key area of interest for sellers to defend, as breaching $18,500 would raise the chances of a broader rally.<\/p>\n<p>Second, an overwhelming majority of Bitcoin addresses are profitable as BTC tests an important resistance area. According to IntoTheBlock, 99% of BTC addresses are now in a state of profit. This raises the probability of a profit-taking-induced pullback.<\/p>\n<p>There is a high probability that dips would get aggressively bought, based on BTC\u2019s recovery in the past two hours. Following the initial drop to $17,214 on Binance, Bitcoin im<a href=\"https:\/\/buradabiliyorum.com\/en\/category\/social-mediaa\/\" data-internallinksmanager029f6b8e52c=\"1\" title=\"Social Media\" target=\"_blank\" rel=\"noopener\">media<\/a>tely recovered above $17,600.<\/p>\n<p>The hourly chart of Bitcoin shows that the 20-day moving average (MA) hovers at $17,586. As such, if BTC remains comfortably above that level, the likelihood of a prolonged recovery increases. <\/p>\n<p>Dan Tapiero, the co-founder of 10T Holdings, expressed confidence in Bitcoin\u2019s medium-term outlook. He said that the \u201cbig boys\u201d or the smart money would likely buy the dips. Referring to the weekly chart of Bitcoin, he <a rel=\"nofollow noopener noreferrer\" target=\"_blank\" href=\"https:\/\/twitter.com\/DTAPCAP\/status\/1328910947507953666\">wrote<\/a>:<\/p>\n<blockquote><p>\u201cNot often in life do you get to look at a chart like this one. #Bitcoin to slice through highs imminently. 3rd wave up to dwarf the 2017 move and should persist for several years. Real fundamentals driving price unlike &#8217;17 speccy\/ico retail flow. Big boys will buy dips now.\u201d<\/p><\/blockquote>\n<figure><img decoding=\"async\" src=\"https:\/\/s3.cointelegraph.com\/uploads\/2020-11\/a8f53ccc-60c8-4dd3-8e64-d191a0542c6f.png\" alt=\"\" title=\"\"><figcaption style=\"text-align: center;\"><em>The weekly price chart of Bitcoin. Source: Bloomberg, Dan Tapiero<\/em><\/figcaption><\/figure>\n<p>John Wick, a popular Bitcoin trader, echoed this sentiment. Wick said that Bitcoin is seeing some profit-taking, but it remains uncertain how long bears would be able to sustain the pressure. He <a rel=\"nofollow noopener noreferrer\" target=\"_blank\" href=\"https:\/\/twitter.com\/ZeroHedge_\/status\/1328937852772753410\">said<\/a>:<\/p>\n<blockquote><p>\u201cProfit taking has started on $BTC right now. Let\u2019s see how far the bears can push this dip down before it\u2019s bought back up.\u201d<\/p><\/blockquote>\n<h2><span class=\"ez-toc-section\" id=\"What_happens_next\"><\/span>What happens next?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>A pseudonymous trader known as \u201cBitcoin Jack\u201d said the dominant cryptocurrency is reaching the \u201cfinale\u201d of its short-term cycle.\u00a0There is some upside left for Bitcoin following the recent pullback. But, he notes that more longs or buyers could be trapped, which could make another drop likely.<strong> <\/strong><\/p>\n<p>The trader <a rel=\"nofollow noopener noreferrer\" target=\"_blank\" href=\"https:\/\/twitter.com\/BTC_JackSparrow\/status\/1328944645318041602?s=20\">explained<\/a>:\u00a0<\/p>\n<blockquote><p>\u201cWe are right in the finale I think. Some upside left potentially to squeeze early shorters and bait more longs to trap. Then clap, bang goes the trap. We are eating shoarma for dinner.\u201d<\/p><\/blockquote>\n<p>Considering that the hourly MAs of Bitcoin held strongly after the dip, the chances of a recovery are higher than a larger drop.<\/p>\n<p><template data-name=\"subscription_form\" data-type=\"markets_outlook\"><\/template><\/div>\n<p><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener noreferrer\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong>\n<\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">News<\/a> articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/general\/\" target=\"_blank\" rel=\"noopener noreferrer\">General category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/cointelegraph.com\/news\/why-bitcoin-price-just-flash-crashed-6-after-rejecting-at-18-5k\" target=\"_blank\" rel=\"noopener noreferrer\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8220;# Why Bitcoin price just flash crashed 6% after rejecting at $18.5K &#8221; The price of Bitcoin (BTC) dropped sharply after approaching $18,500 on Binance and Coinbase. The plunge took place as large sell orders were spotted on both spot and futures exchanges. BTC\/USD 15 minute chart. Source: TradingView.com As\u00a0Cointelegraph previously reported, traders anticipated a&#8230;<\/p>\n","protected":false},"author":1,"featured_media":114437,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/s3.cointelegraph.com\/uploads\/2020-09\/7c5e09b7-b24f-42b3-8ef0-5ba1694bac54.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[74862,74937],"class_list":["post-114436","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-bitcoin","tag-bitcoin-price"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/114436","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=114436"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/114436\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/114437"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=114436"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=114436"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=114436"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}