After reaching an amazing new 52-week high in the middle of the month, Baristas Coffee Co (PINK:BCCI) has now entered in a cooling period that will most likely be as interesting as the preceding tremendous appreciation. 
BCCI made roughly a 6000% jump over the course of two weeks. The spike that made so many investors aware at the stock chart was merely a result of the conjunction in the whole coffee industry. Similar price jumps experienced most of the public coffee companies at that time.
Since BCCI was carried to the new high by the tidal wave of the coffee sector and there were no other fundamental reasons for the surge, it is probably a matter of time before the stock retreats where it was before the crazy run up.
On Friday, BCCI dipped nearly 10% at $0.29 with an intraday low of $0.27. Nearly 800 thousand shares were traded for the day, which is much lower than the daily average of 3 million shares.
On Thursday, the MACD indicator finally formed a bearish cross and may have had its role in the fall that followed the next day. The ATR indicator also gave a firm bearish signal after reaching a peak at 0.1.
If the downfall continues, hypothetical points of support can form at the longer term moving averages. From a technical point of view, the first possible support point is at 0.11, where the 50-MA is currently situated, while the other point of the 200-MA is at $0.05.
After the recent development of BCCI stock price, the company has already reached a market cap of nearly $50 million. However, it seems that BCCI is nearing the point where market participants will decide whether this valuation is reasonable or not.
