The price of bitcoin fell to a three-week low

Today, May 11, the price of the first crypto currency showed a drop, falling below the $ 8700 mark. In the opinion of CoinDesk analyst Omkar Godbow, in the coming weekend the downward movement is likely to continue.

The price of "digital gold" could not overcome the five-day moving average (MA), despite the break of the downward bullish channel, which was observed on May 9. As expected, the price broke down the $ 9000 mark.

Currently, BTC is trading below the $ 8700 mark, which is below the 100-day MA. In comparison with the previous day, bitcoin lost about 2.5% of the previous price.

Compared to the local maximum fixed at $ 9,990 (Bitfinex) fixed on May 5, the decline exceeded 10%. The downward price movement has reduced the confidence of bulls and increased the chances that bitcoin will reach $ 8282, which is on a 50-day MA.

Daily chart
The chart below shows that the price broke through 23.6% on the Fibonacci scale. The relative strength index (RSI) is below the value of 50. This indicates a short-term change in moods from bullish to bearish, as well as a high probability of further continuation of the fall in prices.