Cryptocurrency market, including both core and alternative cryptocurrency has fallen over the past 48 hours ocherednogo below the psychological threshold of $250 billion. Bitcoin is still trading below $7 000, but all attempts by the bears to push the price below $6500, have been unsuccessful.
Although the percentage range and the relative strength index (RSI) is showing oversold, the market has not shown any intention of taking $7 500, which traders believe a key frontier for bitcoin since the end of March.
The fall of bitcoin prices coincided with negative news, which is the pressure exerted by the Reserve Bank of India (RBI) on the cryptocurrency exchanges of the country.
Analyst with wall street Whether it binds the movement of bitcoins with the new tax season in the United States. He said that local cryptocurrency investors need to $25 billion Tax service of the USA (IRS) as tax on profit. Lee reported that rates of crypto-currencies to the dollar can recover after the end of the tax season.
«April 15, tax season will end. Investors who benefited from the prices of bitcoins in December, have to find the money to pay the taxes now, which may explain the interest pressure on the sales price of bitcoin in March,» he said.
The end of tax season, along with growing demand from the public for cryptocurrencies, as the Director of operations Augur Jeremy Gardner, can lead to total recovery from this bearish cycle, with which the cryptocurrency market have struggled since the beginning of January.
The current correction is the third largest correction in the history of the bitcoin market with a 72% decline from its record high. Since mid-March, the rate of fall slows down more and more, and a minimum of 6 Feb $5920 still not been overcome again. It gives me hope for the medium-term correction up or a fast turn of the market.