BTC touched on a key support which we have mentioned in recent months. The local minimum was set even lower at $ 20,800, which is at the same time the lowest BTC value since December 2020. Interestingly, the dominance fell sharply by 2% to the current 46.33%.
No wonder, as the SPX opened well below the gap after the weekend and continues to fall. However, BTC is currently located at moving average of period 200 (MA200) which was always represented in the past absolute bottom of correction. Only time will tell if we are on an absolute day even now.
BTC achieves a 70% correction
I will personally watch how to close the current weekly candle and MA200. If the close price is on this indicator or higher, then I consider it to maintain support. However, if we are deep below, it will happen for the first time in history. Many are also watching support on the $ 20,000 which is also ATH of the previous cycle.
The contact of the previous ATH would also occur for the first time in history. It seems that cycles are becoming less volatile in relative numbers and the current correction still lags behind the majority ones in the past. Current correction makes 70%. For comparison, past corrections were larger than about 85%.