At press time, BTC is changing hands at $7,536 on Bitfinex, down 6.9 percent on the day, a figure that also finds the price breaking a key support level at $7,800.
The above chart shows:
Topside resistance began at $7,987, with the 55-period exponential moving average acting as a barrier. Prices quickly fell away from between $7,987 and $7,802 with a massive spike in sell volume. A cascading downside break from the trading range - bearish pattern RSI is oversold at 22.9l; it could either turn bearish by dropping lower or it could create a bullish divergence whereby prices continue to drop from the previous hours but the RSI creates a higher high. Extenuated bearish MACD - the extension created from the sell-off risks a possible drop further as the bearish histogram continues to play out.