Potential Truce in Iran has Bitcoin faltering at $8,300. After yesterday’s announcement by President Trump, a potential truce in Iran has resulted in Bitcoin tumbling to its support of $8,000. Trump has stated that he would not seek further military action against Iran following Tuesday night’s bombing of two air bases in Iraq.
The 4.82% pullback for Bitcoin suggests that speculators looking for Bitcoin’s bullish trend to continue upward have either pulled their bids or taken profits. It could also be profiteers taking profits since Bitcoin has rallied more than 15% since January 6th.
Traders were actively looking at $8,300 as an area of support – this also lined up with a major trendline in the long-term descending channel – it has also been a major zone of resistance for months. With $8,300 failing to hold, investors were looking at $8,130 as the next line of support since it lines up with the 200 DMA.
At writing time, Bitcoin continues to slide towards $8,000 with $7,850 and $7,550 being eyed as the next levels of support, which coincides with the 61.8% to 50% Fibonacci levels.
Overall, the cryptocurrency market has pulled back slightly to around $214 billion – Bitcoin dominance is holding at 69.1%. Commodities also pulled back with Brent Crude falling 3.7%.
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