From the minute I checked the financial news this Monday morning I have seen repeated stories of the slide in the price of bitcoin. Words like "plunge," "carnage" and "bloodbath" are all being used in the headlines today.
Let's go deeper than the headlines and check on a few charts and indicators.
In the daily bar chart of the nearby bitcoin futures contract, below, we can see that prices have made a new low for the move down and perhaps more importantly have broken the lows of May 2021. You would have to have been a buyer in 2020 to still have a paper profit. The slopes of the 50-day and the 200-day moving averages are negative.
The daily On-Balance-Volume (OBV) line has been in a decline since October and that tells us that sellers of bitcoin futures have been more aggressive than buyers. The Moving Average Convergence Divergence (MACD) oscillator is below the zero line.