BTC traders caught off guard: 3 reasons Bitcoin dropped 2% in just 1 hour

Cointelegraph

Published Nov 02, 2020 05:00AM ET

Updated Nov 02, 2020 06:40AM ET

The price of Bitcoin (BTC) declined by 2% in under an hour in a sharp correction on Nov. 2, catching traders off guard. Coincidentally, the CME Bitcoin futures market opened with a new gap, making $13,100 an area of interest for sellers.

Three technicals reasons likely fueled the abrupt decline in the price of Bitcoin: CME gap, major resistance and monthly moving averages (MAs).

Bitcoin CME gaps on price chart. Source: Zack Voell, TradingView.com
The monthly price chart of Bitcoin. Source: TradingView.com

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