Bitcoin Price Slide Saturday Is A Buying Opportunity

Bitcoin price dropped suddenly the morning of 8 August. Price on Bitstamp retraced to $266.8 before rebounding to current price of $269 at time of this article.

Bitcoin Price Slide 8/8/15

The decline today stopped exactly at the Fibonacci 50% retracement level measured from the 25 April $215 low to the 11 July high of $316.

50% retracements are not uncommon in volatile markets like bitcoin. At this time it is not known if price will break lower but it is important to note that there is very strong support at $250-255 from the next 61.8% Fibonacci level and the 200 day simple moving average.

As long as bitcoin is trading above the 200 day SMA we are still in a bull market and any further decline if it occurs should be considered a buying opportunity as long as support holds at $250-255 on Bitstamp.