Bitconnect Coin is currently treading sideways on its short-term time frames but has tanked nearly 6% to bitcoin. Price has formed higher lows and lower highs, creating a symmetrical triangle consolidation pattern.
A break below support around 0.026r could lead to a downtrend while a candle closing past the resistance at 0.027 could be enough to trigger another uptrend.
Bitconnect Coin reached the Top 20 of altcoins recently. It is an open source, peer-to-peer, community driven decentralized cryptocurrency that allow people to store and invest their wealth in a non-government controlled currency, and even earn a substantial interest on investment.
This means anyone holding BitConnect Coin in their wallet will receive interest on their balance in return for helping maintain security of the network. This altcoin has a market cap of $287,599,260 with a circulating supply of 6,699,432 BCC and an available 28,000,000 BCC. Its 24-hour volume is $2,197,900.
Zooming out to the longer-term charts shows that the downtrend is gaining traction after price failed to break past the 0.028 area of interest. Volume has picked up at the start of the week as traders are returning to their desks after the summer holidays. Also, bitcoin has drawn some support from news of North Korea conducting another missile test, reviving geopolitical fears in the markets.
Looking much further back shows that Bitconnect Coin is down but not out. Price is still moving close to the ceiling at 0.03 and could have another set at an attempt to break higher. Still, stronger selling pressure could take Bitconnect Coin back down to the next long-term support at 0.02.
Bitconnect has a substantially high daily trading volume of $9.2 million, which is significantly higher than that of other rival cryptocurrencies. BitConnect Coin is currently the 12th largest cryptocurrency in the market and its liquidity could rise along with bitcoin from here.
Geopolitical risk could continue to influence Bitconnect Coin price action moving forward but news of China banning ICO funding has been dampening demand for cryptocurrencies, and the lesser-known ones are taking the brunt of the losses.