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Bitcoin BTC Price Watch – Tight Battle Between Bulls and Bears

Bitcoin (BTC) Price Watch - Tight Battle Between Bulls and Bears

Bitcoin (BTC) Price Watch – Tight Battle Between Bulls and Bears

 

Bitcoin Price Key Highlights

  • Bitcoin price is currently consolidating in a short-term symmetrical triangle visible on the 1-hour chart.

  • The breakout could set the longer-term direction for bitcoin as it nears a key support area.

  • Technical indicators are suggesting that a downside move is more likely to happen than an upside break.

Bitcoin is consolidating inside a symmetrical triangle, which might be a bearish continuation pattern from the earlier drop.

 

Technical Indicators Signals

The 100 SMA is below the longer-term 200 SMA to indicate that the path of least resistance is to the downside. In other words, the selloff is more likely to resume than to reverse. The 100 SMA also lines up with the top of the triangle to add to its strength as resistance also.

The gap between the moving averages has been widening to reflect stronger bearish pressure. A break below the $6,250 level could be enough to signal a bearish break and further losses, possibly by the same height as the mast of the flag that spans $7,400 to around $6,200.

RSI is already turning lower after spending a brief period in overbought levels, indicating that bears are eager to return. Stochastic is also pointing back down and may draw more selling pressure.

Market Factors

Bitcoin was off to a terrible start for the week on reports that the SEC decided to suspend trading in a couple of crypto-based securities. This weighed on odds that the regulator could approve the bitcoin ETF applications anytime soon as they could site similar reasons on their ruling.

However, it’s worth noting that there were some positive updates so far this week, including the NYDFS backing of the Winklevoss twins’ fiat-based stablecoin. There have also been developments in Canada as a bitcoin fund achieved mutual fund trust status, allowing unit holders to put units in a self-directed registered account such as an RRSP or TFSA.

 

SARAH JENN | SEPTEMBER 11, 2018 | 4:54 AM

Alan Zibluk Markethive Founding Member

BTCUSD consolidates the weekend losses despite Citigroup plans to tap cryptocurrency trading

Bitcoin price analysis - BTC/USD consolidates the weekend losses despite Citigroup plans to tap cryptocurrency trading

Bitcoin price analysis – BTC/USD consolidates the weekend losses despite Citigroup plans to tap cryptocurrency trading

  • Bitcoin has gained 2% since his time yesterday, but the upside is limited.

  • Citigroup has reportedly invented legal way to trade cryptocurrencies.

BTC/USD is changing hands at $6,301 with 2% gains on a daily basis. The coin has partially recovered from the weekends' slump, however, the upside momentum is weak despite some positive news about Citigroup taking cryptos closer to institutional investors.

Citigroup solves the puzzle

Citigroup has developed a new way to get exposure to cryptocurrency market without actually owning the assets, according to Business Insider. The new structure is called Digital Asset Receipt or DAR and it would place digital assets within the regulatory framework, allowing institutions, hedge funds and other big investors to tap this profitable market in a less risky way.

The instrument will work like an American Depository Receipt or ADR, which allows US investors owning foreign stocks that are not traded on US exchanges.

"In this case, the cryptocurrency is held by a custodian and the DAR is issued by Citigroup, the people said. The bank will alert the Depository Trust & Clearing Corp, a Wall Street middleman that provides clearing and settlement services, once it's issued the receipt," a person with knowledge of the plans explained to Business Insider.

Bitcoin's technical picture

On the intra-day basis, BTC/USD is capped by SMA50 (1-hour) at $6,316, followed by SMA100 (1-hour) at $6,373. Once these areas are cleared, the recovery may be extended towards $6,400, though the ultimate bulls' goal is created by 23.6% Fibo retracement at $6,800, strengthened by SMA200 (1-hour).

On the downside, the nearest support comes at $6,116 (September 8 low), followed by critical $6,000.

BTC/USD, 1-hour chart

Tanya Abrosimova

FXStreet

Alan Zibluk Markethive Founding Member

EU-level regulation for cryptocurrencies and ICO market may send Bitcoin and other coins to fresh lows

EU-level regulation for cryptocurrencies and ICO market may send Bitcoin and other coins to fresh lows

  • EU finance ministers call for crypto and ICO regulation on EU level.

  • Brussels-based Bruegel suggests tighter regulation or even ban.

 

The Brussels-based think tank Bruegel prepared a document for EU finance ministers with the aim to promote EU-level regulation of digital assets and initial coin offerings, according to Reuters. It is supposed to be discussed by the ministers on Friday during their meeting in Vienna.

 

EU authorities have been making noises about risks related to highly volatile crypto market, prone to scams and vulnerable to hack attacks. However, they avoided comprehensive regulation due to the small size of the segment, but the growing popularity of digital assets in the European countries might force them to change their mind.

 

"Now the possible expansion of the crypto exchange business in Europe and considerable interest in ICOs in EU countries, which account for 30 percent of the global market in terms of projects funded, is pushing regulators to take a closer look," Reuters reports.

 

Malta, for example, strives to create a favorable regulatory environment for blockchain projects in hopes that they will support the economic development. The efforts of the Maltese was rewarded as many companies including Hong Kong-based Binance, one of the world’s largest crypto exchanges, flocked to Malta.

 

 

According to Bruegel, the authorities should focus on regulating or even banning entities that deal with cryptocurrencies and tokens. The think-tank noted the restrictive Chinese approach towards the industry.

 

Tanya Abrosimova

FXStreet

Alan Zibluk Markethive Founding Member

Bitcoin Bulls Need to Make a Move or Pay a Heavy Price

Bitcoin – Bulls Need to Make a Move or Pay a Heavy Price

Bitcoin – Bulls Need to Make a Move or Pay a Heavy Price

Bitcoin holds on to positive territory in the early hours, though will need to break back through to $7,400 levels to avoid a bearish move.

Bitcoin gained 1.23% on Tuesday, reversing Monday’s 0.47% decline, to end the day at $7,357.2.

Recovering from an early morning intraday low $7,246.2. Steering clear of the day’s first major support level at $7,187.47, Bitcoin rallied through late morning and early afternoon to an intraday high $7,415.4.

The rally through to the day high saw Bitcoin break through the day’s first major resistance level at $7,356.47 and back through the 38.2% FIB Retracement Level of $7,376 to hit $7,400 levels for the 2nd time in 3-days, prior to which was back in the 1st week of August.

In spite of the breakout from the 38.2% FIB Retracement Level of $7,376, Bitcoin failed to hold on to $7,400 levels with a late in the day broad based market sell-off seeing Bitcoin’s gains for the day reduced, with Bitcoin pulling back through the 38.2% FIB Retracement Level by the day’s end.

With selling pressure evident at the 38.2% FIB Retracement Level, Bitcoin’s failure to hold above $7,376 by the day’s end reaffirmed the extended bearish trend formed at early May’s swing hi $9,999, with a break out from $7,376 needed to support the formation of a bearish trend reversal.

The gains came with the news wires on the friendlier side at the start of the week, with regulator chatter on hold, allowing the Bitcoin bulls to talk up the prospects of a return to bullish form and a run at $20,000 levels by the year-end.

At the time of writing, Bitcoin was up just 0.07% to $7,363.9, with moves through the early morning seeing Bitcoin recover from a start of a day morning low $7,357.2 to a morning high $7,398.7 before easing back, the early moves leaving the day’s major support and resistance levels untested, while resistance at $7,400 proved to be too great in the early hours.

For the day ahead, moving back through the 38.2% FIB Retracement Level of $7,376 would support another run at $7,400 levels to bring the day’s first major resistance level at $7,433 into play, with market sentiment to dictate whether Bitcoin can take a run at $7,500 levels, investors continuing to be on the more cautious side in spite of Bitcoin’s recent weekly gains and hold on to $7,300 levels.

Failure to move back through the 38.2% FIB Retracement Level of $7,376 could see Bitcoin hit reverse, with any fall through 7,340 bringing sub-$7,300 levels and the day’s first major support level at $7,263.8 into play before any recovery.

We would expect Bitcoin to steer clear of sub-$7,300 levels should the news wires remain crypto friendly, with Bitcoin’s relatively minor gains through the early part of the week likely to limit profit taking in the middle part of the week, though investors will wary of what’s to come on the regulatory front, which continues to pin Bitcoin back from $8,000 levels and beyond.

 

Bob Mason

19 minutes ago

Alan Zibluk Markethive Founding Member

Bitcoin BTC Price Watch- Nearby Inflection Points to Watch

Bitcoin (BTC) Price Watch- Nearby Inflection Points to Watch

Bitcoin (BTC) Price Watch- Nearby Inflection Points to Watch

Bitcoin Price Key Highlights

  • Bitcoin price continues to crawl higher and is moving closer to completing its double bottom.

  • Once completed, price would need to break past the neckline at $8,400 to confirm a long-term uptrend.

  • Corrections from the climb could find support at the short-term rising trend line that held since last month.

Bitcoin price is slowly moving up to form a double bottom reversal pattern, and a neckline break could lead to more gains.
 

Technical Indicators Signals
 

The 100 SMA is also completing its bullish crossover from the 200 SMA to indicate that the path of least resistance is to the upside. This would mean that the rally is more likely to resume than to reverse. Price is also moving above a rising trend line connecting the lows since mid-August and the moving averages could serve as dynamic support close to this area.

However, RSI is pointing down after recently reaching overbought territory, which means that selling pressure might still return. Similarly stochastic is on the move down so bitcoin price could follow suit while bearish pressure is in play.

Market Factors

In the absence of any major updates lately, bitcoin appears to be taking its cues from the improving sentiment in the industry. More and more analysts are renewing their bullish calls, with one group even predicting that it could reach $33,000 in 2019.

Furthermore, Satis ICO Advisory Research projects that bitcoin price could surge to $96,000 over the next five years then to $143,900 in 10 years. The firm is also bullish on Monero, predicting it will reach $18,000 over the next five years.

On the flip side, it is less optimistic about ethereum and litecoin while being bearish on Ripple, Bitcoin Cash, EOS. The report also wasn’t optimistic on utility tokens either, and this “weeding out” sentiment appears to be more favorable to bitcoin.

 

SARAH JENN | SEPTEMBER 4, 2018 | 4:19 AM

Alan Zibluk Markethive Founding Member

Bitcoin BTC Price Watch – Don’t Miss This Bullish Pullback

 

Bitcoin (BTC) Price Watch – Don’t Miss This Bullish Pullback

Bitcoin Price Key Highlights

  • Bitcoin price is trending higher inside an ascending channel on the 4-hour chart and is testing the top.

  • A pullback to support might be due from here, so as to gather more bullish energy on the climb.

  • The uptrend is likely to resume since the 100 SMA is completing a crossover above the 200 SMA.

Bitcoin price hit resistance at the top of the channel but might be ready to resume the climb on a test of support.

 

Technical Indicators Signals

The 100 SMA is crossing above the longer-term 200 SMA to indicate that the path of least resistance is to the upside. This suggests that the uptrend is more likely to resume than to reverse or that support is more likely to hold than to break.

However, RSI is pointing down to indicate that sellers are trying to regain control from here while buyers take a break. Similarly stochastic is moving south so bitcoin price might follow suit while bearish pressure is in play.

Price could bounce upon hitting support at the Fib levels or the channel bottom, which lines up with the 61.8% level in particular. This also coincides with a former resistance around $7,000, which might also hold as an area of interest.

A larger pullback could last until the swing low just above the moving averages, which might be the line in the sand for any bullish correction.

BTCUSD Chart from TradingView

Bitcoin price does seem to remain support, especially after landing back above the $7,000 major psychological mark that many are watching. Optimism for approval by the SEC in bitcoin ETF applications appears to be keeping bulls present for fear of missing out on a big rally.

Apart from that, many analysts are renewing their bullish calls on this particular cryptocurrency, with Tom Lee even citing that the launch of ethereum futures might wind up positive for bitcoin.

 

Sarah Jenn – NewsBTC – 1 hour ago

Alan Zibluk Markethive Founding Member

Bitcoin At 7000 Undervalued Or Overvalued

Bitcoin At $7000, Undervalued Or Overvalued

Bitcoin At $7000, Undervalued Or Overvalued?

At $7,000, Bitcoin can be both undervalued or overvalued, depending on how the “intrinsic” value of the digital currency is calculated.

After testing the $6000-mark for a while, Bitcoin has staged a big comeback lately. In the last seven days, the digital currency has rallied 6.15%, trading close to the $7,000-mark. Other cryptocurrencies have rallied in sympathy—see table 1 and Table 2.

Table 1

Coin %7d

Bitcoin (BTC) 6.15%

Ethereum (ETH) 1.35

XRP 3.22

*As of 8/31/2018, at 4pm.

Source: Coinmarketcap.com

 

Table 2

Number of Cryptocurrencies That Advanced/Declined In The Top 100 Ranks Over The Last Seven Days

Cryptocurrencies Advance/Decline Number

Advance 84

Decline 16

*As of 8/31/2018, at 4pm.

Source: Coinmarketcap.com

The rally in cryptocurrencies have some experts cheering. One of them is Global Blockchain CEO, Shidan Gouran, who sees a 'hard value' at$6000. “What this means for the present is that motion is already happening. Because it costs about $6,000 to mine a Bitcoin, it couldn’t go too much lower than that. If no one sees any value in it, it will naturally only command its ‘hard value’ price of about that much. But as we can see, people clearly do see value in it. For example, the efforts to legalize a Bitcoin ETF are persisting. Further, story after story is hitting the news about big-name institutions taking steps to trade Bitcoin. While the idea of these big-time uses of Bitcoin were nothing more than a fantasy about a year ago, the signs are actually starting to emerge that it’s going to happen. So undoubtedly, this is stimulating demand to some degree.”

Clement Thibault, Senior Analyst at Investing.com, doesn’t share Gouran’s enthusiasm. "$7,000 is a level we've seen before so I don't regard it as a particularly noteworthy milestone,” says Thibault. “Psychologically, there might be something to it for speculators but the price is completely disconnected from any meaningful fundamentals. If the level was the result of an event, development, or adoption, that would be something more substantial — but at this point, we're trying to invent a narrative to explain the price action when there's nothing to explain."

What do econometric models say? My co-author of an academic paper on Bitcoin valuation, Greg Giordano, ran three econometric models — the Haye’smodel, the Wheatley model, and the Market Model (our own)—see table 3.

On the one side, the Hayes’ model and the Market Model estimate the Bitcoin’s intrinsic value to be $8,778.11 and $8,335.54 respectively. This means that at the current price level the digital currency is undervalued.

On the other side, Wheatley’s Model estimates Bitcoin’s value to be $1,080.58. This means that at the current price the digital currency is overvalued.

 

Table 3

Three Estimates Of Bitcoin’s Intrinsic Price*

Econometric Model Price Estimate

Hayes $8,778.11

Wheatley $1,080.58

Market Model $8,335.54

 

 

Panos Mourdoukoutas

Contributor

 

Alan Zibluk Markethive Founding Member

Bitcoin BTC Price Watch- Bulls Defend Uptrend Line Aiming Higher

Bitcoin (BTC) Price Watch-  Bulls Defend Uptrend Line, Aiming Higher

Bitcoin (BTC) Price Watch- Bulls Defend Uptrend Line, Aiming Higher

 

Bitcoin Price Key Highlights

 

  • Bitcoin price pulled back to the area of interest marked previously and bounced off support.

  • Price is setting its sights back on upside targets indicated using the Fibonacci extension tool.

  • Technical indicators are giving mixed signals in terms of direction, but bearish pressure appears to be fading.

Bitcoin price is resuming its climb after testing the rising trend line connecting the lows since mid-August.

Technical Indicators Signals

The 100 SMA is still below the longer-term 200 SMA on the 4-hour time frame to indicate that the path of least resistance is to the downside. In other words, there’s still a chance for the selloff to resume at this point.

However, the gap between the moving averages is narrowing to indicate slowing selling pressure. The 200 SMA, which lines up with the trend line, also held as dynamic support and could continue to do so moving forward.

In that case, bitcoin price could aim for the 38.2% extension at the swing high next or the 50% extension just past the $7,200 major psychological resistance. Stronger bullish momentum could bring it up to the 61.8% extension at $7,315 or the 78.6% extension at $7,457.70. The full extension is just above the $7,600 mark.

RSI is on the move up so bitcoin price could follow suit while buyers have the upper hand. This oscillator has some room to climb before hitting overbought levels, which means that buyers could stay in the game for a bit longer.

Meanwhile, stochastic just pulled up from the oversold area to indicate a return in bullish pressure. This has more room to head north, also suggesting that the bounce could be sustained.

A bit of month-end profit-taking flows could be seen so be mindful of any sharp dips as traders try to book profits off recent positions. In the meantime, traders still seem optimistic that the SEC could have a more positive decision in the pending bitcoin ETF applications.

 

 

 

SARAH JENN | AUGUST 31, 2018 | 4:32 AM

Alan Zibluk Markethive Founding Member

Bitcoin BTC Price Watch – Make Or Break At 7000

Bitcoin (BTC) Price Watch - Make Or Break At $7,000

Bitcoin (BTC) Price Watch – Make Or Break At $7,000

Bitcoin Price Key Highlights

  • Bitcoin price is once again attempting to break past the key $7,000 barrier on its climb.

  • If it does, bullish pressure could kick in and complete the formation of a long-term double bottom reversal pattern.

  • The pattern’s neckline would be at the $8,400 mark and a break higher could spur a prolonged rally.

Bitcoin price is back to the key $7,000 mark and a strong upside break could confirm that a big rebound is in order.
 

Technical Indicators Signals

The 100 SMA is below the longer-term 200 SMA on this time frame to signal that the path of least resistance is still to the downside. In other words, resistance is more likely to hold than to break.

However, the gap between the two indicators has narrowed significantly to indicate that a bullish crossover may be in the works. In that case, more buying pressure could be seen once completed, giving bitcoin price enough energy to sustain a move past $7,000.

This would put in on track towards testing the neckline around $8,400 to $8,500 and complete a large double bottom pattern. This reversal formation would span around $2,700 in height, which suggests that the resulting move could be roughly the same size.

RSI is still heading lower for now, though, so sellers might have the upper hand. Similarly stochastic is moving south so bitcoin price could follow suit while sellers stay in control. Sustained bearish momentum might even lead to another test of the bottoms at $5,800.

BTCUSD Chart from TradingView

However, the mood is somewhat positive in the industry as investors await the SEC decision on pending bitcoin ETF applications. To top it off, risk appetite has been evident in global financial markets thanks to developments in NAFTA and Brexit.

It might take an industry-specific catalyst to sustain any potential rallies, though, and it’s likely that the regulator’s ruling could do the trick. Approval could bring stronger volumes and increased activity for bitcoin and its peers.

 

Sarah Jenn – NewsBTC – 1 hour ago

Alan Zibluk Markethive Founding Member

Bitcoin BTC Price Watch – More Buyers Waiting to Join

Bitcoin (BTC) Price Watch -  More Buyers Waiting to Join

Bitcoin (BTC) Price Watch – More Buyers Waiting to Join

 

Bitcoin Price Key Highlights

  • Bitcoin price is still on a tear, making its way up to the top of an ascending channel on the 1-hour chart.

  • Price could be due for a pullback to the channel bottom from here in order to gain more bullish momentum.

  • The Fib levels on the latest swing low and high show the areas where buyers might be waiting.

Bitcoin price could be due for a quick pullback from its ongoing climb as buyers wait to hop in at better prices.

 

Technical Indicators Signals

The 100 SMA is safely above the longer-term 200 SMA to confirm that the path of least resistance is to the upside. In other words, the uptrend is more likely to resume than to reverse.

The gap between the moving averages is also widening to signal strengthening buying momentum. The 100 SMA lines up with the 38.2% Fib at $6,800 while the 200 SMA is closer to the bottom of the channel, which might be the line in the sand for a bullish pullback.

In addition, this is near the area of interest or former resistance around $6,700 which might hold as support moving forward. If so, bitcoin price could resume the move to the swing high or the top of the channel closer to $7,200.

RSI is on the move down, though, so there may be some bearish pressure left. This oscillator has a bit of room to head south before indicating oversold conditions, so the correction could go on for a bit longer.

Similarly stochastic is pointing down to confirm that sellers are in control for now. Once both oscillators hit oversold levels and start turning back up, buying pressure could return and allow the climb to resume.

Speculations for a rebound until the end of the year are being revived as traders are now turning their attention to potential approval from the SEC when it comes to bitcoin ETF applications.

 

SARAH JENN | AUGUST 29, 2018 | 4:03 AM

Alan Zibluk Markethive Founding Member