Bitcoin blows through $8 000 as traders look for next support

Bitcoin Source: Google Images

Bitcoin is heading toward its lowest close since June.

Bitcoin fell below $8 000, heading toward its lowest close since June and dragging down most other digital coins in its wake.

The most-traded cryptocurrency slipped as much as 4.9% from its Friday close and looks set to test a fresh resistance level of $7 355. It has failed for days to regain the $8 595 mark that represents a 50% drop from its high of the year.

The biggest peer-to-peer currency has had short-lived rebounds in the past month as it successively fell through a support level in the $9 000s and then its 100-day moving average. Traders often look to technical analysis when there’s little news to explain price movements in a market characterised by anonymous ownership and poorly correlated with major asset classes.

Bitcoin was down 3.4% to $7 890 at 10:14 am London time. Declines in rival digital coins ranged from as little as 2% for EOS to 4.4% for Monero. The best gainer among the most-traded cryptocurrencies was XRP, up 5.4%.