Bitcoin Trading- BTC/USD Technical Analysis, Sept 8: BTC drops 5% in 24h

Volatility has returned to Bitcoin (BTC) trading as new extremes, in both directions, have been tested over the past 72h.

Hours ago, BTC hit a new 18-day low of $460 on BTC-e. Late last week, it spiked up to $494 and then retreated. While the volatility isn't impressive by historical standards- the total price range has been only 7%- it is higher than anything we've seen since mid-August.

Since then, BTC has held tightly a narrow trading range, which now appears to be in gradual decline. The most recent downturn saw BTC lose 5% during the past 24h, under relatively heavy volume of 250 BTC an hour. Hitting $460, a key support level is in jeopardy.

BTC is currently trading at $463 on BTC-e. Uncharacteristically, it has sustained a higher price on BTC-e than on Bitstamp for a reasonable amount of time- the price on Bitstamp is $461.

Typically, prices on BTC-e are slightly discounted relative to most other exchanges, although the recent trend has seen the gap shrink. Currently, prices are all over the map: Bitfinex is at $466 and Huobi is at the equivalent of $470. The disparities may be a precursor for increased volatility to come.

Today's dip has also sent BTC past the 15% offset from its 200-day moving average, whose downward trajectory has slowed, due in part to the recent period of stability.