By Bitcoin is currently trading at $8,290 – down over 4 percent on the day. The selling interest in the cryptocurrency strengthened earlier today with the violation of key support at $8,460.
The sell-off could be extended further as sellers seem to have gained an upper hand on short-term technical charts.
The downside momentum, however, may ebb in the range of $8,000-$8,165, which has been an important area since May 2019, according to market analyst Josh Rager.
Rager is anticipating a price bounce from the $8,000-$8,165 range. However, like any other seasoned trader, Rager is willing to switch sides and become a bear if the support area is breached.
A move through support at $8,000 would set the stage for a re-test of support near $7,670 – the higher low created on Jan. 10.