Bitcoin (BTC/USD) just broke through $260 to $257 on BTC-e, another 14-month low.
Like with the previous lows set in 2015, this drop was a sharp one. Five percent was shed in less than six hours. The piercing of a new low had its cascading effect, driving prices further into new territory as traders took note of the breach and took defensive action.
Hourly volume has more than doubled to near 1,500 BTC, though not as high as in previous rounds of selling this year.
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The BTC/USD pair had been knocking on the $260 floor, its previous low set one week ago, on several occasions during the past 24 hours. Though successfully fought off–prices even rose as high as $270–technical momentum dictated otherwise. It is currently trading at $262, but with the floor broken, this round of selling may not yet be over.
Selling velocity has not, however, reached an unbridled max. This is both good and bad. Good, simply because it could have been a lot worse and investor losses would have piled up more quickly. However, the long-term view tells a story of a gradual drawn out slide relative to the pair’s earlier price profile. So it has likely not yet entered oversold territory and has not yet touched the critical point of reversal being sought by traders.
Prices on BTC-e are $3.50 (1.3%) lower than on its peers, an average offset.