May J, 2018

Bitcoin price analysis: BTC/USD goes below $8,400 again, will Consensus bring relief?

BTC reversed weekend gains, lost 4.5% since the beginning of the day.
Fundstrat experts expect that Consensus conference will reverse the trend.

Bitcoin is back below $8,400 again. A recovery attempted on weekend, failed to get the digital currency No.1 above $9,000 threshold. BTC/USD is trading at $8,346 at the time of writing, off the Asian high of $8,712. The coin has lost 4.5% since the start of the day and reversed all Sunday and Saturday gains.

Meanwhile, crypto enthusiasts are flocking to New York for one of the largest crypto event of the year – CoinDesk's Consensus conference. Fundstrat's managing director and technical strategist Robert Sluymer expect that the event will serve as a good bullish trigger for Bitcoin and other coins, dispelling pessimism about regulatory risks.

"The regulatory risk, the fundamental risk around what's happening with cryptos has hit a bottom and now we're in a state of general recovery," he said on CNBC's "Fast Money" Thursday.

He explained that Bitcoin increased each year after Consensus, though it remains to be seen if the market follows the tradition this year.

Bitcoin's technical picture

On the longer-term scale, Bitcoin is jammed between 100-DMA and 50-DMA ($8,826 and $8,263 respectively). A sustainable break in either direction will trigger a strong movement with the next upside target seen at psychological $9,000 and support at $8,000. Both levels are critical for Bitcoin, as move below $8,000 will signal that a recovery from April's low at $6,400 is over.

BTC/USD, the daily chart