Spot bitcoin price was up 1 percent as the U.S. futures recovered sharply on Sunday evening. The S&P 500 mini had opened lower amid uncertainty about the effect of riots in major U.S. cities. Bitcoin laggingly tailed the futures to fall below $9,400 but rebounded as risk-sentiment restored. Its next price target is $10,000. Bitcoin and the S&P 500 mini fell and recovered in sync on Sunday evening – with a minor lag between their moves. The benchmark cryptocurrency slipped to $9,369 a token as of 1905 ET. The southward move came as a part of a broader correction from bitcoin’s weekend session top near $9,764. So it appears, day traders sold the local high to secure short-term profit, which caused the $300 blip. Just an hour before bitcoin fell below $9,400, futures linked to the S&P 500 opened lower by 1.38 percent. S&P 500 futures maintain May gains despite opening lower on Sunday evening | Source: CNBC Pre Markets Macro analysts blamed the ongoing demonstrations in the U.S. for the fall in an otherwise bullish benchmark index, with Art Hogan, the chief market strategist at National Securities, fearing that the massive disruptions are doubling up the risks in the U.S. equities. “When you think about clearly we’re beginning to take U.S.-China tensions seriously, and you add on to that the massive amount of disruption going on in almost every major city in the country right now, none of that could be seen as a market positive,” he told CNBC. Recovery The S&P 500 futures later recovered from its earlier slip, rising from 3,011 to as much as 3,048.25. Bitcoin laggingly tailed the stock market indicator, rebounding by 2.08 percent to $9,567.13. BTCUSD maintains intraday gains as S&P 500 futures recover | Source: TradingView.com The latest price actions served as a reminder of an erratic yet positive correlation between Bitcoin and the S&P 500. Traders in the cryptocurrency community have been watching the U.S. benchmark as a barometer to realize the investors’ sentiment since February and March’s global market rout. Bitcoin and the S&P 500 had both fallen to their record yearly lows in March. The latest round of anti-police protests has further raised investors’ concerns about the second wave of infections. The Wall Street Journal quoted Peter Chin-Hong, an infectious disease specialist, who feared a spike in cases amid demonstrations and reopening of the U.S. economy. That could stall the S&P 500 recovery. A $10K Bitcoin Price Target Intact Despite the weak fundamentals, Bitcoin traders could still keep an eye on $10,000, a price level they have attempted to break multiple times since May 7, 2020, but to no avail. BTCUSD eyes $10 retest amid global market recovery | Source: TradingView.com The reason why traders have failed so far appears more technical. There is a significant descending trendline that has capped Bitcoin’s upside attempts from flourishing since December 2017. So it seems, traders could retest a move above it for a potential breakout as lower bond yields raise investors’ risk appetite. A rising U.S. stock market further increases Bitcoin’s probability of hitting $10,000 this week over its short-term correlation with the S&P 500. Nevertheless, if a macro pullback appears, it could leave Bitcoin under a similar downside spell. It is because of investors who liquidate their crypto positions to cover their losses elsewhere, a pattern noted by analysts during the March sell-off.
Originally from Bitcoinist.com https://ift.tt/3cs1bBK
Bitcoin is trading nicely above the $9,400 support zone against the US Dollar. BTC price is likely to continue higher towards $10,000 if it clears $9,600 and $9.750. Bitcoin is trading with a positive bias above the $9,400 support zone. The price could struggle to clear the $9,600 and $9,750 resistance levels in the short term. There was a break above a key contracting triangle with resistance near $9,500 on the hourly chart of the BTC/USD pair (data feed from Kraken). The pair could start a strong increase if it clears the $9,600 and $9,750 resistance levels. Bitcoin Price Could Rise Further After a successful close above the $9,300 level, bitcoin price extended its rise above the $9,400 resistance against the US Dollar. BTC price even settled above the $9,500 level and the 100 hourly simple moving average. It traded as high as $9,745 and recently started a downside correction. It traded below the $9,600 and $9,500 levels. However, the previous key resistance near $9,400 and the 100 hourly simple moving average acted as major supports. A low is formed near $9,381 and bitcoin is currently rising. There was a break above the 23.6% Fib retracement level of the key decline from the $9,745 high to $9,381 low. Moreover, there was a break above a key contracting triangle with resistance near $9,500 on the hourly chart of the BTC/USD pair. The pair is now testing the 50% Fib retracement level of the key decline from the $9,745 high to $9,381 low. Bitcoin Price On the upside, the first major resistance is near the $9,600 level. The next major hurdle is near the $9,750 level, above which the bulls are likely to aim a larger rally towards $10,000 or $10,500 in the near term. Dips Supported in BTC If bitcoin fails to continue higher above $9,600 or $9,700, there could be a downside correction. An initial support is near the $9,450 level or the 100 hourly simple moving average. The main support is still near the $9,400 level, below which the price could extend its decline towards the . Technical indicators: Hourly MACD – The MACD is slowly reducing its current bullish slope. Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is currently well above the 60 level. Major Support Levels – $9,350 followed by $9,300. Major Resistance Levels – $9,650, $9,800 and $10,000.
Just over an hour ago as of this article’s writing, Bitcoin closed the price candle for the month of May. This was a very important technical event for the cryptocurrency, analysts have said. And fortunately for bulls, BTC closed above a crucial region of resistance that would have otherwise restricted the asset’s potential upside. Bitcoin Closes Above $9,360, a Key Level Prior to the monthly close, there were analysts pointing to the low-$9,000s as a crucial region to watch. One “full-time scalper” shared the analysis below hours out from the May close, drawing attention to $9,360 in particular. According to him, this level is important because BTC hasn’t closed above it in nearly 12 months, though has been rejected at the level on a number of occasions: “We’ve not had a Monthly close above 9360 in nearly 12 months. Rejections from this level have led to tests of $6k and eventually $3k.” Chart from cryptocurrency trader “Cold Blooded Shiller,” who goes by @ColdBloodShill on Twitter. In Q3 and Q4 of last year, Bitcoin closed under that level on a number of occasions, which was followed by a drop to the $6,000s. And earlier this year, it failed to breach that level again, contributing to March’s capitulation to $3,700. $9,360 is also in proximity to the downtrend that formed after the $20,000 Bitcoin price all-time high, as reported by this outlet previously. The fact that BTC closed May at $9,450, close but still more than a percent above $9,360, purportedly is “incredibly significant for bulls.” Adding to the Bull Case The monthly close above the low-$9,000s only adds to the rapidly forming bull case for Bitcoin, analysts have noted. Adding to the bullish confluence is fundamental and on-chain events. Blockchain analytics firm Glassnode recently found that 60% of all BTC in circulation “hasn’t moved in over a year, showing increased investor HODLing behavior.” The last time this much of BTC’s supply was stuck in place was “right before the BTC bull market of 2017,” prior to the 2,000% parabolic rally that took Bitcoin from $1,000 to $20,000 within a year. Chart of Bitcoin investor habits from crypto analytics firm Glassnode (@Glassnode on Twitter). The image was shared on May 29th, 2020. Alongside this, the situation between the U.S. and China has started to deteriorate over the proposal and implementation of a new security law for the region of Hong Kong. The premise of the law is to “combat growing terrorism,” but officials in the U.S. and others around the world see it as a threat against Hong Kong’s democracy and autonomy. Hong Kong was handed from the British to the Chinese in 1997, with the stipulation that Beijing would leave the region’s autonomy in place until 2047. Hence the ongoing controversy. The yuan has sunk due to the news, potentially acting as a boost for the fledgling safe-haven asset that is Bitcoin. Featured Image from Unsplash
Originally from Bitcoinist.com https://ift.tt/3csgLxf
Ethereum made its third attempt to set new local highs against its Bitcoin trading pair in 2020 yesterday. This movement has shown signs of being fleeting, however, as the crypto has lost some of its momentum. Although the cryptocurrency is flashing some subtle signs of near-term weakness, it is important to note that one data metric points to the cryptocurrency seeing a notable upswing in the days and weeks ahead. This possibility is elucidated by the cryptocurrency’s options skews turning negative, suggesting that traders believe it is primed to see upside volatility. Ethereum Retraces from Recent Highs as the Cryptocurrency Makes Third Attempt at New Highs Ethereum is currently trading up marginally at its current price of $235. This marks a notable rebound from recent lows of $205 that were set earlier this past week when the crypto was caught within a prolonged consolidation phase around $200. ETH’s recent volatility has largely come about independent of that seen by Bitcoin and most other major altcoins. Because the crypto is actually showing signs of leading the market, how it trends in the hours ahead could be one of the determining factors for where the aggregated market goes next. This latest uptrend did allow ETH to gain some serious ground against its Bitcoin trading pair. On Thursday of this last week, the cryptocurrency’s BTC price dived to lows of 0.022. After tapping this level, it incurred a massive amount of buying pressure that catalyzed this recent movement. Over the three days following this dip, ETH rallied to highs of nearly 0.026 BTC. This marked the third attempted breakout the crypto has seen against its Bitcoin trading pair this year – a pattern that Skew spoke about in a recent tweet while showing ETH’s price as a percentage relative to that of Bitcoin. “ETH / BTC: third breakout attempt this year,” Skew noted while pointing to the chart seen below. Image Courtesy of Skew This Pattern Signals That ETH Will Soon See Immense Volatility Although Ethereum now appears to be entering a consolidation phase in the $230 region, it doesn’t appear that this will last for too much longer. Skew also explained that the cryptocurrency’s options skew – which is an indicator of the volatility spread between options contracts with different expiry dates – has dived as of late. This indicates that the cryptocurrency is bound to see some immense volatility in the near-term. Because the options skew is negative, it is possible that this will lead to an upside movement. “Negative skew indicates risk of volatility now seen to be on the upside,” Skew explained in a recent tweet. Image Courtesy of Skew If Ethereum rallies higher in the near-term, it is possible that this will help guide the entire cryptocurrency market higher. Featured image from Shutterstock.
Gamers all over the world are excited to see what the next generation of consoles will bring to the table. PlayStation enthusiasts will gladly look for the PS5 once re-orders open, but it will come at a hefty price.
Buying a new console generation is always a costly endeavor.
How Much Will the PS5 Cost at Launch?
Throughout the lifespan of those consoles, prices will begin to decline, primarily during the holiday season.
In the case of the PS5, to be launched by Sony in the near future, the expected price tag may be rather steep.
While that is not uncommon, recent remarks by Jim Ryan have triggered some concerns
It is expected that the new PlayStation console will be rather costly, although that won’t diminish global sales figures.
For those who absolutely want the PS5 at launch, forking over a vast sum of cash is the only viable course of action.
What the official price tag will be, remains to be seen.
A price of $499 is likely, although it may even surpass those predictions b as much as 50%.
Given the longevity of such a console generation, one won’t need to buy a second PS5 during its life cycle – barring any potential mishaps with the device’s production.
The post Sony’s PS5 may Have a Very Steep Price tag at Launch appeared first on NullTX.
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In just a few minutes’ time, Bitcoin will close May’s price candle. Analysts say that this close will be crucial for indicating in which direction the cryptocurrency market heads next. A region of importance that many analysts are eyeing is the low-$9,000s. As one analyst explained: “We’ve not had a Monthly close above 9360 in nearly 12 months. Rejections from this level have led to tests of $6k and eventually $3k.” Indeed, when Bitcoin failed to surmount this level in February, prices dove to $3,700 during March’s capitulation. And when BTC was rejected from this level in 2018, there was a brutal bear market to $3,150 in the ten months that followed. $9,360 is also around where the downtrend formed after the $20,000 high currently sits, adding to its technical importance. Right now, things are coming down to the wire in terms of Bitcoin closing above this level. The asset trades at $9,400 as of the time of this article’s writing and the close is just a short while away, TradingView has shown. BTC price chart from a crypto trader “Cold Blooded Shiller” (@ColdBloodShill on Twitter). Featured Image from Shutterstock
Ever since the peak of the 2018 crypto bull market, Bitcoin has been front and center for most investors. Bitcoin dominance — the percentage of the cryptocurrency market made up of BTC — has doubled from the 33% lows, while a number of altcoin projects have died out due to funding issues and a lack of public interest. Even still, there remain thousands of projects cumulatively worth dozens of millions promising to be the “next BTC” or something along those lines. But according to Max Keiser, the host of the “Keiser Report” on RT and one of the earliest Bitcoin bulls,” these projects have no intrinsic value. Bitcoin Is Still Stronger Than Altcoins Speaking in a recent interview with London Real, Keiser doubled down on his long-held sentiment that altcoins provided little (if any) value over Bitcoin. In response to the interviewer Brian Rose’s question if there is any cryptocurrency “complementary to BTC,” Keiser said no. He explained that there is “no coin out there that can do something that Bitcoin doesn’t do already or will be able to do shortly.” Bitcoin’s security, with a majority of the hash power and the majority of the crypto market share, also makes it a better bet than altcoins, Keiser added. .@HeisenbergCap Co-Founder explains why alt-coins are disappearing and why #Bitcoin will overtake Gold https://t.co/DVumGlgfzp — Heisenberg Capital (@HeisenbergCap) May 28, 2020 It’s a Common Sentiment Keiser isn’t alone in touting the sentiment that altcoins still pale in comparison to Bitcoin despite the technical developments and the billions of dollars worth of funding. Kevin Rose, a co-founder of digital media site Digg and a general partner at True Ventures, recently told TechCrunch the following: “The problem is that 99% of the projects out there and a lot of the people who are behind them are just in this for the pure financial gain. And there’s a lot of garbage out there. And that’s unfortunate because it really drags down the high-quality projects, and it muddies the space quite a bit.” Rose led Google Ventures’ investment in Ripple that took place in 2013. Stock trader/analyst Steve Burns, who has a following of over 200,000 on Twitter, echoed this sentiment. He said that he thinks “99.9% of altcoins are going to $0 [… over a] buy and hold timeframe,” adding that he thinks so because “they have zero value.” There is technical evidence to suggest that Bitcoin will outperform altcoins, too. Per previous reports from Bitcoinist, Josh Olszewicz, a Brave New Coin crypto analyst, observed on May 15th that Bitcoin’s dominance chart printed a textbook golden cross. The arrival of the golden cross, the analyst suggested, is a sign that those awaiting an “altcoin season” may be rudely awakened. Chart from Josh Olszewicz (@CarpeNoctum on Twitter), a crypto analyst at Brave New Coin. The chart is of Bitcoin’s dominance printing a “golden cross” formation. Featured Image from Shutterstock
Originally from Bitcoinist.com https://ift.tt/36Nzy4y
Ethereum’s budding decentralized finance (DeFi) ecosystem took a heavy beating after the March capitulation crash. As I detailed in an analysis for LongHash, what happened was that MakerDAO became unstable due to what some say is an erosion in trust in the protocol. Ethereum investor Parafi Capital wrote in a blog post: “We believe this lack of stability and liquidity is translating into uncertainty around using DAI as a decentralized stablecoin in many DeFi protocols. Anecdotally, we have heard a handful of DeFi teams express frustration over DAI’s lack of liquidity/stability.” Adding to this, a fledgling DeFi protocol with more than $25 million worth of crypto assets was hacked due to a glitch in a smart contract. After this mess, one commentator went as far as to say that “the entire DeFi ecosystem almost died.” But, as we now know, this death didn’t happen. This bodes well for the Ethereum bull case. Related Reading: This Crypto Use Case Has Never Been as “Underrated” Due to Twitter and Trump DeFi Is Still Alive and Kicking In the wake of March’s crypto crash, the value locked in DeFi applications crashed to $500 million from well over a billion. This was to be expected: March’s crash also resulted in an over 50% reduction in the value of top cryptocurrencies. But according to data shared by data site DeFi Pulse, decentralized finance has since recovered alongside the value of cryptocurrencies. There is now $953 million worth of assorted crypto assets locked into DeFi applications, according to the site. This is up nearly 100% from the March lows. Notably, not 100% of the $953 million in DeFi assets is based on Ethereum, but a majority is. Case in point: Maker, Synthetix, and Compound — all based on Ethereum — hold approximately $750 million worth of assets. Data of value locked in decentralized finance (mostly Ethereum) from Twitter user Alex.eth (@AlexanderFisher). Ethereum Stands to Benefit With DeFi gaining strength once again, analysts say that ETH’s bull case is being strengthened. The founder of MakerDAO Rune Christensen said that Ethereum through DeFi will attract “all value” in the cryptocurrency space: “4 million Dai was just minted with WBTC in a single transaction. This really showcases the latent demand for non-ETH assets, and it’s the beginning of a broader trend of DeFi acting as an economic vacuum that will eventually attract almost all value to the Ethereum blockchain.” There’s also Ryan Selkis, chief executive of crypto research firm Messari. He explained that due to the introduction of DeFi and the market share it could capture, ETH has a “higher ceiling” to rally towards than 2017/2018’s rally. For reference, the 2017/2018 rally brought ETH to $1,400. Related Reading: Crypto Tidbits: Bitcoin Nears $10k, Goldman Sachs Talks Cryptocurrency, Chinese Yuan Slumps Featured Image from Shutterstock
Ethereum is up more than 5% today and it is trading above the $235 level against the US Dollar. ETH price is likely to surge towards the $285-$300 if it clears the $248 resistance zone. Ethereum is surging and it recently broke the $220 and $230 resistance levels. The price is now trading well above the $220 pivot level and the 100-day simple moving average. There was a break above a crucial bearish trend line with resistance near $208 on the daily chart of ETH/USD (data feed via Kraken). The pair is likely to continue higher towards the $285 if it clears the $248 hurdle. Ethereum Price Is Signaling More Gains In the past few days, there was a strong rise in Ethereum above the $205 resistance against the US Dollar. ETH price even outperformed bitcoin and gained more than 10% in the past few sessions. During the rise, there was a break above the 61.8% Fib retracement level of the main decline from the $288 swing high to $90 swing low. The bulls took over the market and they were able to push the price above the $200-$205 resistance zone. The price is now trading well above the $220 pivot level and the 100-day simple moving average. More importantly, there was a break above a crucial bearish trend line with resistance near $208 on the daily chart of ETH/USD. Ethereum Price The pair is now testing a significant resistance zone near the $248 and $250 levels (the breakdown zone formed in Feb 2020). It is also close to the 76.4% Fib retracement level of the main decline from the $288 swing high to $90 swing low. If Ether breaks the $248 and $250 resistance levels, it could easily continue higher above the $260 and $270 levels. The next key resistance is near the $300 level (a multi-touch zone). If the bulls succeed in clearing the $300 barrier, the price could surge towards the $320 and $330 levels. Dips Supported in ETH If Ethereum fails to clear the $248 resistance level, there could be a short term downside correction. An initial support is near the $225 and $220 levels. The first major support is now near the $205 level and the broken bearish trend line. Any further losses may perhaps lead the price towards the $190 zone and the 100-day simple moving average. Technical Indicators Daily MACD – The MACD for ETH/USD is slowly losing momentum in the bullish zone. Daily RSI – The RSI for ETH/USD is currently correcting lower from the 70 level. Major Support Level – $220 Major Resistance Level – $248 Take advantage of the trading opportunities with Plus500 Risk disclaimer: 76.4% of retail CFD accounts lose money.
Although Ethereum is still over 80% below its all-time high price, the asset has registered extremely positive price action over recent months. From the March capitulation lows of $88, the asset is up over 175%. And in the past day alone, ETH is up 10%, outperforming basically all other cryptocurrencies in circulation. The recent uptrend has allowed Ethereum to print an extremely positive sign, according to a prominent crypto trader. He noted in the chart below that on Kraken, the Moving Average Convergence Divergence (MACD) on the one-month Ethereum chart has crossed bullish for the first time ever: “Monthly MACD finally crossed bullishly… and moving up across the zero line,” the analyst wrote in reference to the chart below. Chart of Kraken’s Ethereum market from analyst Dave the Wave. The chart shows that ETH’s long-term MACD has flipped bullish for the first time ever. The MACD is designed to reveal changes in the strength, direction, momentum, and duration of a trend in a stock’s price, according to Wikipedia. Ethereum Rally May Not Last, Analysts Say Despite this textbook bullish sign, prominent analysts are not convinced that Ethereum may not rally sustainably due to fundamental factors. Per previous reports from Bitcoinist, crypto-asset trading platforms are holding more Ethereum in aggregate than ever before. Addresses owned by the platforms like Bitfinex and Binance now hold ~18,000,000 ETH, around 15% of the total supply of the crypto asset. A prominent crypto data analyst remarked that this is likely to be a bearish sign for the cryptocurrency: “ETH balances are basically at all-time highs, and are up 132k ETH (~26M) since Black Thursday… My interpretation here is that it’s bullish for btc/bearish eth,” the analyst opined through a Twitter thread that was about cryptocurrencies that exchange wallets hold. Data shared by crypto analyst Ceteris Paribus (@Ceterispar1bus on Twitter). There are also some saying that Ethereum is currently not a proper investment. Earlier this year, Galaxy Digital’s Mike Novogratz explained that ETH remains in a “proving phase.” That’s to say, the asset doesn’t have the same track record or brand recognition as Bitcoin. 1. GLXY is a big investor in Ripple Labs. I would like to see them do well. @bgarlinghouse has done a great job as ceo. I commented the XRP tokens underperformed $btc last year because Ripple owns a lot of them. I have been almost solely long $btc for the past 15 months. — Michael Novogratz (@novogratz) February 6, 2020 All Altcoins Are Poised to Underperform Ethereum isn’t the only altcoin that may not rally sustainably, or may not rally as far and as fast as Bitcoin. Brave New Coin analyst Josh Olszewicz observed on May 15th that Bitcoin’s dominance macro chart — the portion of the crypto market made up of BTC compared to altcoins — printed a textbook golden cross formation. Finance education site Investopedia says that a golden cross forms when a “relatively short-term moving average crosses above a long-term moving average,” and is often followed by a “bullish breakout.” Chart from Josh Olszewicz (@CarpeNoctum on Twitter), a crypto analyst at Brave New Coin. The chart is of Bitcoin’s dominance printing a “golden cross” formation. Featured Image from Shutterstock
Originally from Bitcoinist.com https://ift.tt/2zAYK2l
Bitcoin is up more than 2% today and it is trading above $9,500 against the US Dollar. BTC is trading in a positive zone and it could rally above the $9,800 and $10,000 resistance levels. Bitcoin is showing a lot of positive signs above the $9,500 pivot level. The price recovered nicely after a short term downside correction towards the $9,200 zone. There was a break above a key bearish trend line with resistance near $9,570 on the 4-hours chart of the BTC/USD pair (data feed from Kraken). The pair is likely to accelerate higher above the $9,800 as long as it is above the $9,300 support. Bitcoin Remains In Uptrend This past week, bitcoin popped higher and broke the $9,300 resistance area against the US Dollar. BTC price traded with a positive bias and settled above the $9,300 level and the 100 simple moving average (4-hours). There was a minor downside correction from the $9,600 zone, but the same $9,300 area acted as a support. The price remained stable and traded above the 61.8% Fib retracement level of the key decline from the $9,943 high to $8,650 low. Moreover, there was a break above a key bearish trend line with resistance near $9,570 on the 4-hours chart of the BTC/USD pair. Bitcoin is now trading nicely above the 76.4% Fib retracement level of the key decline from the $9,943 high to $8,650 low. Bitcoin Price It seems like the price is likely to continue higher towards the $9,750 and $9,800 levels. The first major resistance is near the $9,950 and $10,000 levels. The next major hurdle for the bulls is near the $10,500 level, above which the price is likely to surge higher towards the $11,200 and $11,500 levels. Dips Supported in BTC In the short term, bitcoin price might correct lower below $9,600. An initial support is near the broken trend line or $9,580. The first key support is near the $9,430 level and a connecting bullish trend line on the same chart. The main support is forming near the $9,300 level and the 100 simple moving average (4-hours). Any further losses may perhaps start a major decrease and the price might revisit the $9,000 level or $8,800. Technical indicators 4 hours MACD – The MACD for BTC/USD is gaining pace in the bullish zone. 4 hours RSI (Relative Strength Index) – The RSI for BTC/USD is currently well above the 60 level. Major Support Level – $9,300 Major Resistance Level – $9,950 Take advantage of the trading opportunities with Plus500 Risk disclaimer: 76.4% of retail CFD accounts lose money.
After days of stagnation and consolidation, Bitcoin started to mount a strong comeback earlier this week. The leading cryptocurrency now trades for $9,650 — the highest price in over a week and more than 13% higher than the ~$8,550 lows seen during a retracement earlier this month. But Bitcoin remains below a crucial region of resistance that analysts say could unlock upside not seen since 2019 if BTC manages to reclaim the zone as support. The Importance of $10,500 to Bitcoin As arbitrary as this number may sound, $10,500 is one of the most important price levels for Bitcoin at the moment. As can be seen below, prices in the vicinity of that level have rejected Bitcoin during many rallies over the past year. $10,500 marked the top of the “Xi pump” seen in late 2019, while it also marked the top of the rally seen earlier this year. Chart from TradingView.com illustrating the importance of the $10,500 level for Bitcoin over the past few years. The price is also a point at which a number of crucial bearish Bitcoin chart formations would become invalidated, leaving room for BTC to rally to the upside. As one commentator explained: “BTC very close to exploding. Break above $10,500 would break an over 2 year symmetrical triangle, 11 month broadening wedge, 8 month horizontal resistance.” Considering the importance of the level, it should come as no surprise that analysts have said that if Bitcoin can break above $10,500, a strong upswing could follow. Robert Sluymer of Fundstrat Global Advisors recently made the following comment on the importance of the level: “Next directional move on tap for BTC’s as bull-bear convictions are about to be tested. Bears can point to the downtrend at 10-10.5K. Bulls have the long-term uptrend (200-week sma) at their back and the past week’s resilience as BTC’s quickly rebounded from its 200-dma.” Next directional move on tap for $BTC‘s as bull-bear convictions are about to be tested. Bears can point to the downtrend at 10-10.5K. Bulls have the long-term uptrend (200-week sma) at their back and the past week’s resilience as BTC’s quickly rebounded from its 200-dma. pic.twitter.com/QrZ4SxYsxR — Robert Sluymer (@rsluymer) May 14, 2020 It Won’t Be Easy Although all eyes may be on $10,500, that’s not to say that the level will be easy for Bitcoin to break past. Order book data from Bitfinex’s flagship BTC/USD market shows that there is currently a confluence of sell-side orders around $10,000-10,300. This has been illustrated by the chart seen below, which was shared by a prominent crypto trader. It shows the price action of BTC since the start of the year coupled with the “OB (order book) Dominance Bands” indicator. The indicator shows the price points at which there is order book activity, with the opacity of the bands showing how significant that activity is. Chart from crypto trader Coiner-Yadox (goes by @Yodaskk on Twitter). The order book data is relevant as it predicted previous price action in the Bitcoin market. Featured Image from Shutterstock
Bitcoin remains far below the $20,000 all-time high it established at the end of 2017’s crypto mania. But this hasn’t stopped investors from being extremely optimistic about the cryptocurrency. One prominent analyst recently said that the asset is looking “super bullish” from a long-term perspective. His comments are especially notable as he is an analyst that has nailed the directionality of this market over the past year. In the middle of 2019, when BTC was surging past key resistances above $10,000, he called for a retracement to $6,400. He predicted that move correctly, nailing the bottom of the trend down to dollars. Earlier this year, the analyst suggested that the asset would rally to $11,000 before reversing towards the $8,000s and maybe even lower. This, too, was correct. Long-Term Outlook for Bitcoin Is “Super Bullish” The analyst in question is “Dave the Wave.” He noted recently that the Moving Average Convergence Divergence (MACD) indicator for Bitcoin’s weekly chart is “well situated for the cyclical move up” that will bring the asset to new heights in the long run. Though a short term correction may well be on the cards, the longer term is looking super-bullish. Weekly MACD well situated for the cyclical move up as compared to last time…. pic.twitter.com/pKtWwF5ZIw — dave the wave (@davthewave) May 30, 2020 Other indicators corroborate this. Blockchain analytics firm Glassnode recently noted that approximately 60% of all BTC in circulation “hasn’t moved in over a year, showing increased investor HODLing behavior.” The last time this much of BTC (percentage-wise) was frozen was “right before the BTC bull market of 2017,” prior to the 2,000% rally that took Bitcoin from $1,000 to $20,000. Chart of Bitcoin investor habits from crypto analytics firm Glassnode (@Glassnode on Twitter). The image was shared on May 29th, 2020. There Could Be a Short-Term Drop While Dave the Wave sees a bright future ahead for Bitcoin, he does believe that the asset could be subject to correcting lower in the near term. He shared the chart below on May 28th, opining that BTC remains in a textbook descending triangle similar to the one seen at the peak of the market in 2019’s bull market. The descending triangle shows that should Bitcoin break to the downside, it will fall towards $7,000. Has anyone drawn a descending triangle yet? This would double up nicely with the .38 fib [just taking price into the 6K range], and triple up with the larger reverse head and shoulders drawn a month ago above. pic.twitter.com/sIXncYI0wM — dave the wave (@davthewave) May 28, 2020 The analyst added that from a long-term growth perspective, Bitcoin is currently looking a “tad high.” This could imply an imminent correction to more sustainable levels. He isn’t the only market participant to have reminded investors to be cautious as Bitcoin pushes higher. As reported by Bitcoinist previously, one trader recently noted that Bitcoin’s recent price action looks eerily similar to that seen at the February highs of $10,500. Both periods have similar phases, including a triple-top pattern near a horizontal resistance. Should BTC trade as it did after February highs, a strong drop could ensue in the following weeks. This would line up with Dave the Wave’s analysis. Featured Image from Shutterstock
Originally from Bitcoinist.com https://ift.tt/3gBaLW1
It’s been an explosive past few days for Ethereum. In the past 24 hours alone, the second-largest cryptocurrency is up 10%. As reported by NewsBTC previously, the asset is currently pushing $244, the highest price since early March. This surge is important as it comes at a critical time for cryptocurrency bulls. One prominent trader shared the ETH/BTC chart seen below a few days ago, writing that it’s “decision time” for Ethereum. The chart indicates that ETH is soon about to see a massive breakout past a crucial downtrend that has held for nearly three years and past a key relative strength index level. In rallying today by 10%, outpacing Bitcoin, Ethereum may be set to rally even higher in the coming weeks. Chart of ETH/BTC macro performance from crypto trader FatihSK (@FatihSK87) Related Reading: Crypto Tidbits: Bitcoin Nears $10k, Goldman Sachs Talks Cryptocurrency, Chinese Yuan Slumps There Are Reasons to Be Bullish, Analysts Explain There are reasons why this rally is taking place and why more upside is expected, analysts have explained. Mythos Capital founder Ryan Sean Adams indicated this week that the fundamentals of ETH have grown over the past few weeks. The increase in transaction demand has increased transaction fees, which is suggestive of a higher Ethereum price, he explained. Adding to the bullish confluence, an analyst noted that ETH/BTC has seen its monthly Moving Average Convergence Divergence (MACD) cross bullish “for the first time since inception.” The MACD is a trend-following momentum indicator that shows the relationship between two moving averages of a security’s price, as Investopedia explains. Such a trend indicates that the Ethereum trend that has transpired over the past few weeks has been extremely positive. Related Reading: This Eerily Accurate Fractal Predicts Bitcoin Will Rocket to $20,000 in 2020 Investors Are Long on Ethereum Investors are picking up on these trends and have flipped bullish on the asset. Blockchain analytics firm Santiment recently found that there has been a rapid increase in accumulation by some of ETH’s “whale” addresses over the past few weeks. “ETH whale addresses have just hit a 10-month high with the cumulative holdings of the top 100 non-exchange wallets now owning over 21,800,000 Ethereum. This is the largest collective balance held within the top 100 addresses since May, 2019. In the last two days alone, these top ETH whale addresses have added an additional 145,000 coins.” Santiment wrote in reference ot the chart below. Chart of ETH whale holdings from blockchain analytics firm Santiment There are also prominent venture capitalists like Garry Tan, one of (if not the first) investor in Coinbase, who have recently started to scoop up the asset in anticipation of upside. Started accumulating $ETH again — Garry Tan (@garrytan) May 31, 2020 Related Reading: This Crypto Use Case Has Never Been as “Underrated” Due to Twitter and Trump Featured Image from Shutterstock
When browsing the internet, one’s experience is directly impacted by the browser one chooses. Google Chrome, while still very popular, is becoming increasingly difficult to fix, potentially forcing users to alternative solutions.
Why one likes or hates Google Chrome will always be a lengthy debate.
Is Chrome Viable in the Long Term?
There are many drawbacks, but also a lot of prominent aspects that make this browser so popular.
One upcoming change announced by Google may have a bit of an inverse effect, however.
Code deemed “unsafe” within Chrome is the main culprit in terms of security issues.
Addressing that problem is very difficult, as there doesn’t appear to be one solution to fix everything.
Additionally, one has to keep in mind that bug fixing in any form can be a very costly endeavor.
According to Google’s engineers, the main problem is the coding languages on which Chrome is built.
Browsers using Google’s own Chromium framework are not safe from these issues either.
This means that solutions such as Opera, Brave, and others will run into very similar issues if Google doesn’t fix them.
For now, the engineers will spare no expense of effort to close off all existing vulnerabilities.
What that means for the future of Chrome – and the user experience – is anyone’s guess.
The post Fixing Google Chrome’s Current Codebase may Eventually Become too Costly appeared first on NullTX.
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Just hours after Ethereum rocketed higher, so too has Bitcoin. The leading cryptocurrency recently reached $9,750, the highest price BTC has traded at in over a week. $9,750 is just over 13% higher than last week’s lows of $8,600, established as miners were seemingly dumping their coins in response to the May 11th block reward halving. Bitcoin price chart from Tradingview.com Due to the timing of the move, it seems that Bitcoin is being dragged up by Ethereum. As shared in a previous market update, the prominent altcoin is up 10% over the past 24 hours, pushing $244. This move has caught some traders off guard. Crypto derivatives tracker Skew.com noted that over the past four hours, upwards of $10 million worth of short positions on BitMEX have been liquidated. This adds to the dozens of millions liquidated over the past few days as BTC has rocketed higher from $8,600 to the current price. BitMEX liquidation data over the past three days from Skew.com, a crypto derivatives tracker. More Upside for Bitcoin Is in the Works The move is still ongoing but analysts think the bull case for Bitcoin is rapidly growing. One trader identified an eerily accurate fractal last year, which is a recurring pattern that occurs over different assets on different time frames. The fractal says that Bitcoin’s price action since early-2017 looks much like Amazon’s stock did from the Dotcom Boom to the post-2008 recovery. The fractal predicted that Bitcoin would top early on this year, along with the capitulation event that took place in March. The fractal playing out in full means Bitcoin could soon surge towards the $20,000 all-time highs. The recent move higher could be the start of that move. Adding to the confluence is fundamentals. The Chinese yuan has slumped over the past week due to growing tensions between the U.S. and China over Hong Kong democracy. Against the dollar, the yuan is at lows not seen since the peak of 2019’s trade war. And the Chinese central bank set a yuan “mid-point” that is the lowest since early 2008. Analysts say that this trend of the yuan devaluing could act as a boost to Bitcoin. Chris Burniske, a partner at Placeholder Capital, remarked on the matter: “If China’s CNY continues to weaken against USD, then we could have a 2015 and 2016 repeat, where BTC strength coincided with yuan weakness.” Featured Image from Shutterstock
In just a day, Bitcoin will close the May’s price candle. Analysts say that this close will be crucial for indicating in which direction the cryptocurrency market heads next. Analyst Eric “Parabolic” Thies, for instance, recently identified a level that bulls should close above to confirm that more upside is in the works. The Key Level to Watch for Bitcoin Heading Into May’s Close According to Thies, the cryptocurrency closing above the downtrend formed after the $20,000 high will be “incredibly significant for bulls.” The downtrend is currently at $9,300, which BTC trades above as of the time of this article’s writing. BTC chart from Eric “Parabolic” Thies, a crypto analyst and programmer. Although Thies believes the low-$9,000s is the region to watch, there is a key band of resistance around $10,000 too. Order book data for the BTC/USD market on leading exchange Bitfinex is showing that there is currently a mass of sell-side pressure around $10,000-10,300. This has been illustrated by the chart below shared by a prominent crypto-asset trader. The chart shows Bitcoin’s price action since the start of the year alongside the “OB (order book) Dominance Bands,” which shows the price points at which there is order book resistance or support. Chart from crypto trader Coiner-Yadox (goes by @Yodaskk on Twitter). The chart and order book data are relevant as they predicted previous price action in the Bitcoin market. As can be seen in the chart above, the OB Dominance Bands predicted the highs in March, nailing the $10,500 highs. Furthermore, they also marked local lows multiple times over the past two months. Should historical precedent hold, there’s a high chance Bitcoin will run into heavy resistance at $10,100 once again. It Will Break Through These Resistances While the monthly close has yet to come to fruition and Bitcoin remains shy of $10,000, analysts think that it will break through these resistances. As reported by Bitcoinist previously, Bitazu Capital partner Mohit Sorout noted that Ethereum recently breached a crucial downtrend that formed after the April highs of $227. The level held as resistance on multiple occasions until earlier this week, when the altcoin surged past it in a convincing fashion. As Ethereum led Bitcoin higher during February 2020’s rally, there is a good likelihood Bitcoin is about to break past the level indicated in Sorout’s chart too. Should this happen, BTC could reach ~$10,100 in the coming days, which would invalidate the aforementioned resistances. The fundamentals corroborate this optimism. Matt D’Souza — CEO of Blockware Mining — recently drew attention to four macroeconomic factors that will aid Bitcoin’s growth in the future, meaning months and years ahead. They are as follows: There is growing geopolitical distress, like the tensions between the U.S. and China over Hong Kong democracy. Global central banks continue to print trillions to save the flagging economy. Negative rates continue to trend lower. Bitcoin is slowly becoming a payment system. Featured Image from Shutterstock
Originally from Bitcoinist.com https://ift.tt/3eAUKO8
While Bitcoin is stalling under the key $9,500-9,600 resistance level, Ethereum has rocketed higher. The asset, according to TradingView.com, is up 10% over the past 24 hours. ETH is currently pushing $244, the highest price since early March. For some context, Bitcoin is up a mere 1% in the past 24 hours. Also, a majority of altcoins have registered gains of around 2-4%. Ethereum price chart from TradingView.com This surge higher over the past 24 hours has had a large effect on the Ethereum derivatives market. According to data shared by crypto derivatives tracker Skew.com, over $2 million worth of ETH short positions on BitMEX has been liquidated over the past two days. Also, the difference between ETH’s price on BitMEX and Coinbase has trended positive, suggesting there is accumulation of Ethereum futures contracts by traders betting on more upside. Analysts Are Betting on More Ethereum Upside The recent price action has convinced analysts that more upside is in the works. A crypto day trader recently shared the chart below with the comment “not exactly bearish.” It shows that while ETH is not yet past a key zone of historical resistance, it has reclaimed a key trendline that supported the rally from the March lows. Ethereum is also breaking past other key resistances from a technical perspective, according to the chart. Chart from @CryptoMeowMeow on Twitter Adding to the bullish confluence, Mythos Capital founder Ryan Sean Adams indicated this week that the fundamentals of ETH have grown over the past few weeks. The increase in transaction demand has increased transaction fees, which is suggestive of a higher Ethereum price, he explained. Bitcoin Could Follow ETH Bitcoin has been lagging Ethereum. The flagship cryptocurrency is up 1% in the past 24 hours while ETH is up 10% as aforementioned. Some may see this as a sign of larger weakness in this nascent market, but some think that Ethereum’s ability to outperform is a sign of an imminent rally in BTC’s price. Bitazu Capital’s Mohit Sorout recently shared the chart below, indicating that Ethereum has recently breached a key resistance while Bitcoin hasn’t. Charts of both ETH and BTC from Mohit Sorout (goes by @SinghSoro on Twitter) As ETH led BTC higher during February 2020’s rally, there is a good likelihood that BTC is about to burst past the downtrend indicated in Sorout’s chart too. Should this happen, BTC could rally to ~$10,100 in the coming days. Featured Image from Shutterstock
Another week, another round of Crypto Tidbits. It’s been a positive past week for the Bitcoin market. After falling as low as $8,600, the flagship crypto mounted a strong comeback over the past few days that say BTC hit $9,650. This is the highest price the asset has traded in just over eight days. Interestingly, altcoins began to deviate from Bitcoin’s price action over the past week. As can be seen in the image below, Ethereum largely outperformed BTC and other asset classes, as did Cardano and Maker. On the other hand, Chainlink, XRP, Bitcoin Satoshi’s Vision, and other top crypto assets slumped. Image of crypto market price action from Coin360 The crypto market remains below the late-April highs and the year-to-date highs, but analysts are still bullish. Blockchain analytics upstart Santiment, for instance, shared late last week that BTC’s Network Value to Transactions Ratio (NVT) remains “healthy.” “In spite of BTC’s mild -4.4% downswing today, its NVT looks healthy, and our model is showing a semi-bullish signal. The amount of unique tokens being transacted on Bitcoin network is slightly above average for in May, according to where price levels currently sit,” blockchain analytics firm Santiment wrote. Related Reading: Crypto Tidbits: Satoshi Isn’t Dumping His Bitcoin, China ‘Bans’ Cryptocurrency Mining Bitcoin & Crypto Tidbits Goldman Sachs Talks Crypto Assets: On May 27, multinational investment bank and Wall Street giant Goldman Sachs held a call related to Bitcoin. Entitled “Implications of Current Policies for Inflation, Gold, and Bitcoin,” two executives at Goldman Sachs and a Harvard professor deliberated over BTC. They said that Bitcoin does not generate cash flow, does not hedge against inflationary risks, and does not “provide consistent diversification benefits given their unstable correlations.” The analysts added that the crypto can be used for crime, citing the PlusToken Ponzi scheme of yesteryear. Many are divided over the contents of the call, but there seems to be a silver lining: as one analyst explained, the fact that Goldman Sachs mentioned Bitcoin is a sign they’re hearing of it from their clients. Chinese Yuan Slips, Boosting Bitcoin and Crypto Bull Case: U.S.-China relations were on the mend at the end of 2019, but this is changing with news of a new Hong Kong law. The law, many in the international community say, erodes the region’s autonomy that the mainland Chinese government promised to uphold until 2047. The U.S. has responded by threatening sanctions. The Chinese yuan, as a result, has sunk. This could benefit Bitcoin. Chris Burniske, a partner at Placeholder Capital, explained: “If China’s CNY continues to weaken against USD, then we could have a 2015 and 2016 repeat, where BTC strength coincided with yuan weakness.” Early Bitcoin Miners Bashes Craig Wright: An early Bitcoin miner from 2019/2010 with access to tens of millions (and potentially over one hundred million) worth of BTC recently revealed that he’s still around. The owner of the coins signed the following message with his private key, indicating his latest views on developments in the Bitcoin space without revealing who he is: “Craig Steven Wright is a liar and a fraud. He doesn’t have the keys used to sign this message. The Lightning Network is a significant achievement. However, we need to continue work on improving on-chain capacity. Unfortunately, the solution is not to just change a constant in the code or to allow powerful participants to force out others. We are all Satoshi.” Bitcoin Cash Looks Fundamentally Unhealthy, Top Crypto Analyst Says: According to prominent crypto analyst Yassine Elmandjra of ARK Invest, Bitcoin Cash is so fundamentally weak that he is surprised “we haven’t seen a large scale attack yet.” He cited three fundamental factors to back this assertion: Bitcoin Cash’s network hash rate is down 30% since its April halving, economic throughput has dropped to all-time lows, and it doesn’t cost that much from a macro perspective to attack the network. Bitcoin Cash is not looking healthy: -Hashrate down 30% since halving (& only accounts for ~2% of SHA256 hash)-Economic throughput at all time lows-Fees are .05% of miner rev (<$100/day)-Theoretical 51% attack costs <$10k/hr Surprised we haven't seen a large scale attack yet — Yassine Elmandjra (@yassineARK) May 23, 2020 Featured Image from Shutterstock
The past few months and years have seen derivatives become increasingly important to crypto. This is largely due to the introduction of more institutional-centric fund managers, which can use vehicles like futures and options to hedge risk and maximize profits. As a result, the data the crypto derivatives markets provide have become increasingly important to analysts. With options data showing that an increasing number of traders are betting on a rally, the bull case that many are touting may be validated. Crypto Options Investors Are Betting on a Rally As Bitcoin has recovered over the past few days, investors have become increasingly bullish on the asset. So much so that derivative tracker Skew.com recently noted that BTC options traders are currently “turning bullish.” They noted that the volatility skew of the options market, which effectively shows if options “writers” is bullish or bearish, has “collapsed to flat” after trending positive for the past month. “Short term skew has collapsed to flat in the last few days as bitcoin options traders turn bullish,” Skew.com wrote in reference to the chart seen below. Chart of Bitcoin options skew from Skew.com, a crypto derivatives tracker and platform It isn’t only options indicating that Bitcoin derivatives traders expect upside. Also according to Skew.com, the crypto futures market has also been starting to show signs of buying activity. The basis of BitMEX’s BTC market, which is how much people are paying for one Bitcoin over Coinbase’s price, has started to trend positive. This suggests the presence of more aggressive buyers than sellers. There Are Reasons to Be Bullish There is a confluence of purportedly valid macroeconomic and technical reasons why there are so many traders bullish on Bitcoin. Matt D’Souza — CEO of Blockware Mining — recently identified four such reasons why the demand for BTC will soon increase, which should correlate with higher prices assuming consistent market supply. They are as follows: There is growing geopolitical unrest: The U.S. and China are duking it out again, this time over Hong Kong democracy. The mainland Chinese government proposed a law that some say erodes the autonomy of the region. The U.S. is threatening sanctions and other restrictions should the law be implemented. As a result, the yuan has sunk, boosting Bitcoin’s opportunity to act as a hedge. Jeff Dorman of crypto fund Arca said: “In Spring/Summer 2019, the Chinese Yuan fell to all-time lows vs the USD, and contributed greatly to BTC appreciation. Conversely, when the Yuan strengthened in Fall 2019, BTC tumbled. Guess who’s back to all time lows?” Negative interest rates continue across top economies: Negative interest rates have continued in the world’s top economies. Bitcoin stands to benefit from this because it offers no yield over negative rates. Central banks continue to print money to save the economy: To respond to the ongoing recession, central banks and governments have continued to print trillions upon trillions of dollars. Bitcoin’s scarcity allows it to appreciate over fiat money. Bitcoin is continuing to become a payment system over time: Due to developments with the Lightning Network and corporate adoption, Bitcoin is becoming a payment system. RELATED READING: INVESTOR “BULLISH” ON NEWS THAT A 2009 BITCOIN MINER STILL TRUSTS BTC’S ROADMAP Featured Image from Shutterstock
Originally from Bitcoinist.com https://ift.tt/2MoYqqh
Justin Sun, the founder and CEO of Tron, announced that the Tron network has reached a major milestone with 6 million addresses registered. The increase in the number of addresses follows the increase in the number of dApps built on the network, which reached 768 in total last week. 10,000 New Addresses Created on Tron Every Day Tron, the decentralized blockchain network founded by Justin Sun, has seen a significant increase in use this year, despite the fact that its market cap has been declining. Justin Sun announced today that the Tron network has reached a major milestone—there are currently over 6 million addresses on the blockchain. Data from blockchain explorer Tronscan showed that there has been a steady growth in the number of new addresses created on the network in the past 14 days, averaging at 10,000 per day. Graph showing the account growth on the TRX network in the past 14 days. New Tron Dapps Could Be Behind Latest Address Increase Data from a blockchain analytics tracker also showed that there have been 1.3 million transactions on the main chain and the Sun Network on May 28, which is a steep increase from the 1 million transactions that were processed on the network on May 27. Graph showing the number of daily transaction on the TRX network in the past 14 days The fact that the account growth isn’t mirrored in TRX’s price growth indicates that it might have been a result of an increasing number of decentralized applications (dAps) being built on the network. According to the latest Dapp Weekly Report, there are currently 768 dapps on the network, with the growth of the platforms, games, and services being built on the network remaining stable for the past week. According to @dapp_review, the number of #TRON #Dapps reached 768 with 5 new #Dapps and signaling a stable development. #TRON’s #Dapp ecosystem is growing at a steady pace. We welcome more users and developers to join us. #TRX $TRXhttps://t.co/01ldyPGokL — Justin Sun (@justinsuntron) May 29, 2020 The report showed that from May 23 to May 29, there were 518,000 transactions processed on dapps based on the network, with more than $4.1 million traded. The report also showed that the majority of dapps on the Tron network were gambling and other high-risk categories, while exchanges made up the smallest portion of the dapps built on the platform. The Dapp Weekly Report summary. (Source: TRX Foundation) Sun’s company has been on an acquisition spree after acquiring BitTorrent, Steemit, and Poloniex. It is also trying to capture the stablecoin market by hosting Tether on the blockchain and by launching its own stablecoin called USDJ. Featured Image from Shutterstock
Chainlink’s immense strength throughout the past couple of years has allowed the cryptocurrency to become one of the most bullish digital assets. This price action has allowed it to form a market structure that led it up to fresh all-time highs just a couple of months ago. Analysts are now noting that the crypto is well positioned to see further upside from a technical perspective, as it may soon make a bid at its previously established highs. It is important to note that this technical strength may be plagued by a grim trend that has historically emerged prior to massive price declines. If history repeats itself, the crypto could soon post a local top that invalidates its macro uptrend. Bearish Trend Emerges, Suggesting Chainlink Could Soon See Notable Losses At the time of writing, Chainlink is trading up marginally at its current price of $3.96. The cryptocurrency has seen some immense volatility over the past 24 hours, rocketing up to highs of $4.10 around this time yesterday before facing a harsh rejection that subsequently led it down to lows around its current price levels. This price action has come about in tandem with that seen by Bitcoin. It rallied up to highs of $9,700 yesterday before losing its momentum and declining to lows of $9,350. The benchmark cryptocurrency has since been hovering around this support level, struggling to garner any further upwards momentum. In addition to Bitcoin placing some pressure on Chainlink, there is another emerging trend that could cause LINK to post some notable near-term losses. Social volume for the crypto has been rocketing higher in recent times. Over the past six months, erroneous rises in social volume have come about just before sharp price declines. Data analytics platform Santiment spoke about this in a recent tweet, explaining that these rises always tend to correlate with local tops. “It’s interesting to see how the past six months have looked for LINK. Generally, these high spikes almost always correlate for a local top, so watch to see just how this current mid-level social volume bar ends up closing,” they noted while referencing the below chart. Image Courtesy of Santiment Analysts Think LINK Remains Technically Strong Despite this trend being potentially bearish, it is important to note that some analysts still believe it could see further upside. One analyst spoke about this in a recent blog post, explaining that he is anticipating Chainlink to see a rally to its all-time highs around $5.00 if it is able to post a clean break of the resistance it faces at $4.30. “Resistance overhead is at $4.30 and if price was able to break above this I would expect to see a test of all-time highs fairly swiftly. Invalidation for longs would be a clean break below $3.40,” he said while pointing to the chart seen below. Image Courtesy of Nik Patel Featured image from Shutterstock.
Since bottoming at $8,600 over five days ago, Bitcoin has performed extremely well. The asset rallied as high as $9,650 on Thursday, liquidating dozens of millions of dollars worth of shorts in the process. Simultaneously, Ethereum saw a massive breakout past a crucial level, suggesting that BTC has room to the upside. Even still, a top trader has suggested that Bitcoin’s recent price action is looking much like the price action seen at the February year-to-date top. Bitcoin Looks Much Like It Did at 2020’s Feb. Peak A crypto trader recently shared the image below, showing that Bitcoin’s recent price action looks eerily similar to that seen at the February highs of $10,500. Both periods have similar phases, including a triple-topping pattern indicative of a potential reversal. Should BTC trade as it did after February highs, a strong drop could ensue in the following weeks. Chart from trader crypto trader Joshnomics (@joshnomics on Twitter) It isn’t only the similarities in the market structure suggesting Bitcoin is topping in the $10,000 range. One prominent crypto trader recently shared the chart below of BTC’s price action since the start of the year with Bitfinex order book data overlayed. The chart indicates that there is currently a mass of sell-side orders in the $10,000-10,300 range. This is important as when Bitcoin rallied to and was rejected by the $10,000 range two times over the past month, there was also a sell wall in that range. This chart also shows that when BTC topped at $10,500 in February, it also ran into a confluence of sell orders at $10,500. Should historical precedent hold, there’s a good chance BTC will see a price rejection if and when it rallies to $10,000. Chart from crypto trader Coiner-Yadox (goes by @Yodaskk on Twitter). Fundamentals Could Upset Bearish Reversal Although the technicals indicate Bitcoin may soon top out, the fundamentals show a different story. The cryptocurrency’s on-chain trends remain decisively bullish, analysts say. “In spite of BTC’s mild -4.4% downswing today, its NVT looks healthy, and our model is showing a semi-bullish signal. The amount of unique tokens being transacted on Bitcoin network is slightly above average for in May, according to where price levels currently sit,” blockchain analytics firm Santiment wrote. Adding to this, the Chinese yuan was set to the weakest level since February 27, 2008. The offshore yuan market has reflected this decision, rallying to “the weakest level since Sept 2019.” This is bullish for Bitcoin because the cryptocurrency can act as a safe haven for Chinese investors, which may be harshly affected by a falling yuan. Placeholder Capital partner Chris Burniske remarked: “If China’s CNY continues to weaken against USD, then we could have a 2015 and 2016 repeat (pictured below), where BTC strength coincided with yuan weakness.” Related Reading: Bitcoin Isn’t Even in a Macro Bull Market Yet: Here’s Why One Is Imminent Featured Image from Shutterstock
Originally from Bitcoinist.com https://ift.tt/2Xf2C1X
While Bitcoin is up 5% over the past two days, the crypto-asset market remains in consolidation. After hitting $10,100 in late April, the cryptocurrency has stagnated under that key level. It has since traded in a relatively tight consolidation pattern from $8,500 to $9,500, failing to move decisively out of this range. Though a popular trader says that Bitcoin is currently showing signs it will soon rocket higher. The sign cited is a fractal the asset has tracked for the past three years. Related Reading: Crypto Tidbits: Satoshi Isn’t Dumping His Bitcoin, China ‘Bans’ Cryptocurrency Mining Bitcoin Is Preparing to Rally to $20,000: Fractal Markets seemingly move without rhyme or reason, but this isn’t always the case. Due to the psychology of investors, there are technical formations called fractals that show price action can repeat at different times and for different assets. As Investopedia explains: “Fractals also refer to a recurring pattern that occurs amid larger more chaotic price movements” A prominent trader in 2019 identified that Bitcoin’s price action since early-2017 looks much like the stock of Amazon did from the Dotcom Boom to the recovery after the Great Recession. In other words, BTC may be following an Amazon fractal. While this pattern was identified in late-2019, it has held up until today. The fractal predicted that Bitcoin would top early on this year, along with the capitulation event that took place in March. Bitcoin and Amazon fractal chart from a popular crypto trader “Mr. Chief” (@HaloCrypto on Twitter). Should the fractal play out in full, Bitcoin will soon surge back towards the $20,000 highs as the chart above indicates. The fractal also predicts that by early 2021, the leading cryptocurrency will have established a new all-time high, likely at $25,000 and beyond. Not the Only Bullish Factor The fractal isn’t the only factor that has analysts bullish on Bitcoin. As reported by NewsBTC, the crypto market could soon surge as the Chinese yuan continues to slide against the U.S. dollar. The recent tensions in Hong Kong and the subsequent global response have weakened the Chinese currency against other currencies. Against the dollar, the yuan is at lows not seen since the peak of 2019’s trade war. This is due to the sanctions the U.S. intends to place on Chinese companies in the near future, along with potentially similar moves from other global powers. Analysts say that this trend of the yuan devaluing could act as a boost to Bitcoin. Chris Burniske, a partner at Placeholder Capital, remarked on the matter: “If China’s CNY continues to weaken against USD, then we could have a 2015 and 2016 repeat, where BTC strength coincided with yuan weakness.” If China's $CNY continues to weaken against $USD, then we could have a 2015 and 2016 repeat (pictured below), where $BTC strength coincided with yuan weakness. https://t.co/ISVJAZMX5O pic.twitter.com/VApfxe1SFw — Chris Burniske (@cburniske) May 22, 2020 Related Reading: The $90 Million Bitcoin Pizza Story Has an Unexpected Silver Lining Featured Image from Shutterstock
Bitcoin has been consolidating within the lower-$9,000 region for the past day, struggling to garner any upwards momentum in the time following its latest rejection at $9,700. The price action seen today has come about due to this latest rejection shining a spotlight on the present weakness of buyers, as they have been unable to firmly surmount $10,000 at any point throughout 2020. This weakness has come about in the face of the crypto flashing some immense signs of underlying strength. One such sign is the fact that over 60% of the Bitcoin supply has not been moved in over a year, signaling that investors are taking a long-term approach to their BTC investments. This may not be enough to stop the crypto from seeing a decline into the $7,000 region – according to one prominent trader. Bitcoin Flashes Signs of Fundamental Strength Despite Inability to Break $10,000 At the time of writing, Bitcoin is trading down just under 1% at its current price of $9,400. This is around the price level it has been trading at throughout the past day. Yesterday afternoon, the benchmark cryptocurrency incurred a massive influx of buying pressure that helped it rally to highs of $9,700. This movement was fleeting, as the crypto was quickly met with significant selling pressure. If it begins declining from its current price region, it is imperative that buyers continue defending against a break beneath $8,800. Fundamental strength could help bolster Bitcoin’s near-term trend. One metric of this fundamental strength is the amount of Bitcoin that has been dormant over the past year. Data from Glassnode elucidates this trend, revealing that 60% of the benchmark crypto’s supply has not been moved in over a year. “60% of the Bitcoin supply hasn’t move in over a year, showing increasing investor hodling behavior. Last time this we saw these levels was before the BTC bull market of 2017,” they explained. Image Courtesy of Glassnode BTC Could See a Free-Fall Despite of Fundamental Strength This fundamental strength may not be enough to stop the crypto from seeing a free fall decline, however, which could lead it into the $7,000 region. One analyst spoke about this grim possibility in a recent tweet, explaining that the rejection stopped Bitcoin from breaking above the upper boundary of a technical formation that it has been caught within. He concludes that this rejection has confirmed that BTC is likely to see further near-term downside, highlighting a target at $7,800 on the chart seen below. “BTC – Update: I’m still short. Look how price rejected off my lvl to the tick ($9625). Obviously not in the clear yet, but this is the price action I’d look for to add more to this swing short,” he explained.” Image Courtesy of Calmly Featured image from Shutterstock.
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