The cryptocurrency market continues to be under pressure, the price of Bitcoin went below $34000 today, and the risk of further declines is not over yet. PotCoin POT/USD is also losing its value, and in a very short period, this cryptocurrency price has weakened from $0.062 to $0.010, and the current price stands around $0.019.
Fundamental analysis: PotCoin allows cannabis enthusiasts to interact and transact mutually
PotCoin is a digital cryptocurrency solution for the global cannabis industry that allows cannabis enthusiasts to interact and transact mutually. Its creators wanted to solve banking problems for people looking to transact in legal marijuana since banks cannot legally conduct pot-related business.
The PotCoin network is truly decentralized, transparent, and available from anywhere in the world. PotCoin was created in 2014, but it becomes popular thanks to the exposure garnered by a famous basketball player Denis Rodman.
PotCoin’s liquidity has risen dramatically since the beginning of 2021, and the price of this cryptocurrency advanced above $0.060 resistance on 18th April. Since then, the price has collapsed, daily trading volume has weakened, and traders remain concerned that it may take a long time for prices to see any more significant recovery.
The cryptocurrency market is losing its value this Sunday, the price of PotCoin can weaken even more in the upcoming days, and probably it is not the best moment to buy this cryptocurrency. Scott Minerd, an analyst from Guggenheim Partners, said that Bitcoin could retest the $20,000 support level, and if this happens, all other cryptocurrencies could be at much lower price levels.
“Margin trading helped retail traders gain crypto exposure, but as we saw, digital currencies suffered a painful fall. The cryptocurrency crash highlighted the risks associated with using leverage to trade assets, and retail traders should understand that leverage can accelerate a rally but also a fall,” said David Madden, market analyst for Equity Capital.
Technical analysis: The risk of further declines is probably not over
PotCoin could weaken even more in the ongoing bear market, and if you decide to trade this cryptocurrency, you should always use a “stop-loss” order because the risk remains high.
Data source: tradingview.com
PotCoin currently trades around the $0.019 level, and it would be a strong sell signal if the price falls again below $0.015 support. The next price target could be around $0.010 or even below; still, if the price jumps above $0.030, we have the open way to $0.040.
PotCoin was created to solve banking problems for people looking to transact in legal marijuana since banks cannot legally conduct pot-related business. The cryptocurrency market is losing its value this Sunday, and the price of PotCoin is also under pressure. The risk of further declines is probably not over, and if the price falls below $0.015 support, we have the open way to $0.010 or even below.
Where to buy right now
To invest simply and easily, users need a low-fee broker with a track record of reliability. The following brokers are highly rated, recognised worldwide, and safe to use:
- Etoro, trusted by over 13m users worldwide. Register here >
- Plus500, simple, easy to use and regulated. Register here >