BTC value drops down to 3,900 USD subsequent to a poor weekend performance

BTC value drops down to 3,900 USD subsequent to a poor weekend performance
Dec 3, 2018 by Rico Wise

Dominant digital currencies, such as XLM and BCH have recorded 6% price losses, displaying insufficient momentum and cryptotrading activity. It was previously reported that in the event that Bitcoin’s price drops below the 4,000 USD level and is unable to perform a recovery to the 4,200-4,400 USD region, then the chances for the digital asset to proceed its decline to the mid-3,000 USD range increase.

Since yesterday, BTC has displayed a drop in its daily trading volume from approximately 6 billion USD to 5.2 billion USD due to the decline in in value. Usually, in the process of a downtrend, Bitcoin’s volume abruptly increases due to the rise of the sell orders in the cryptomarket.

The decrease in Bitcoin’s volume, which followed the 4% price drop in the past 12 hours proposes that the currency is displaying low momentum and lacks solidity at the 4,000 USD support level to maintain the upside movement in the short-term. Over the past five days, potentially because of the well-gone meeting between the presidents of the US and China regarding the trade agreement, the Dow Jones and the US stock markets have recorded significant valuation gains.

Since the last days of November, the Dow Jones market has gained 1,065 points, displaying a nearly complete recovery from November’s decline, upon which the market’s yearly profits were erased in the course of three weeks. Nevertheless, despite the fact of recovery managed by the US stock market, the cryptomarket has proceeded in its display of insufficient strength and trading volume. According to Alex Kruger, a cryptoanalyst and an economist, BTC is displaying no correlation to the stock markets and has no effect on the digital currency market.