BitTorrent price limps towards a test of the September lows

Summary:

The BitTorrent price is trading lower on Monday and looks set to extend the losses in the immediate future.

The BitTorrent price is trading lower on Monday and looks set to extend the losses in the immediate future. BitTorrent (BTT) is down around 2.3% at $0.00333 this morning, increasing the 7-day decline to 12.53%. As a result of the recent weakness, BTT’s market cap has shrunk to $2.27 billion, ranking it the 70th-largest cryptocurrency behind Waves (WAVES).

Even though the total value of the crypto market reached a record $3 trillion this month, BTT has materially underperformed. At the current valuation, the BitTorrent price is trading at a 75% discount to May’s all-time high and 38% below the September high. The sluggish price action is, in some part, due to capital chasing the rallies in Layer-1 and Metaverse projects. As a result, the BTT token fails to attract investor interest and the new money needed to spark another bull run. Subsequently, the bearish momentum has increased in November, suggesting a slide below $0.00300 is on the cards.

BTT Price Analysis

The daily chart shows the BitTorrent price is trending lower beneath the 50,100 and 200-Day Moving Averages (DMAs). Furthermore, the 50-DMA at $0.00372 has crossed below the 100 at $0.00386 and is approaching the 200-Day at $0.00369.

I expect the downtrend to remain the dominant theme, which should push BTT towards the September low of $0.0030. However, a deeper sell-off could target the summer trough at around $0.00180.

The bearish sentiment should play out for as long as BTT remains below the 200-DMA. Therefore, a close above $0.00369 invalidates the pessimistic view.