*"It was at 1000$ a year ago, why would I even consider it"* - That sentence came from a true Bitcoin HODLER. I think when you have been holding a bag of bitcoin from 50$ all the way up to 20,000$ your relationship with the ***KING Of Crypto*** is very personal, it's like a child that has evolved in fron of your eyes. I have massive respect for true holders, the believers, the pioners - Kudos ! To the charts...

To be honest I didn't expect to see BTC drop over 8% today, at one point we broke Friday's low (7930$). [In my last post about bitcoin](https://steemit.com/bitcoin/@ervinneb/bitcoin-bounces-off-lows-but-why) I spoke about the "white line", which is the 200 Simple Moving Average (A very important indicator for traders/investors). It is essential for Bitcoin to stay over that line, as this is an indicator watched by many and could cause a mini "flash crash".

![Хелло.PNG](https://steemitimages.com/DQmT4eREBnsXPjPEWuvSHGLJgrt1JZmNnahGMabxNdqmCcP/%D0%A5%D0%B5%D0%BB%D0%BB%D0%BE.PNG)
[Source](https://www.tradingview.com/chart/ENQrhqmo/)

It's very obvious that the downtrend in Bitcoin (Cryptocurrencies in general) continues and to be honest we might accelerate the downfall once we break the 200 SMA. 

## What's Next ?

* If we don't break the 200 SMA, I expect BTC to range in 7900$-9500$ 
* If we break 200SMA, I expect to see a sharp sell-off to around the 6000$ mark'
* For a bullish case we need a bit of consolidation at these level and then HIGH volume

## Keep In Mind 

There is a big event coming for crypto this week, there is a SEC/CFTC Hearing 100% on Cryptocurrencies on the 6th of February. A rather important event for crypto enthusiasts and traders. I would expect volatility, the Segwit2x cancellation volatility. The best scenario is BTC to dive below 6k in a flash crash manner and then to reclaim 200 SMA on high volume. If I see this, I am a bull right away.

## For more analysis and reminders - Follow @ervinneb