xbtusd Archives - Page 46 of 47

30th March 2021

TA: Bitcoin Holds Strong, Why BTC Could Soon Rally To $60K

Bitcoin price extended its rise above the $58,000 resistance against the US Dollar. BTC is now correcting gains, with but it is likely to remain well bid near $56,750 and $56,500.

Bitcoin gained pace above the $57,500 and $58,000 resistance levels before correcting lower.
The price is now well above the $55,000 support and the 100 hourly simple moving average.
There is a key bullish flag pattern forming with resistance near $57,700 on the hourly chart of the BTC/USD pair (data feed from Kraken).
The pair is likely to find a strong buying interest near the $56,500 support zone in the near term.

Bitcoin Price Eyes More Upsides

After surpassing the $57,000 resistance, bitcoin extended its rise. BTC broke the $58,000 resistance level and settled nicely above the 100 hourly simple moving average.

It even surged towards the $58,500 level and traded to a new weekly high at $58,615. It is now correcting lower and trading below the $58,000 level. There was also a break below the 23.6% Fib retracement level of the upward wave from the $54,950 swing low to $58,615 high.

It seems like there is a key bullish flag pattern forming with resistance near $57,700 on the hourly chart of the BTC/USD pair. The channel support is near the $56,800 level.

Source: BTCUSD on TradingView.com

The 50% Fib retracement level of the upward wave from the $54,950 swing low to $58,615 high is also close to the channel support. On the upside, a clear break above the flag resistance near $57,700 could open the doors for a fresh increase.

The next key resistance is near the $58,500 level. A convincing break above the $58,500 resistance is likely to set the pace for a move towards the $60,000 level.

Downward Move in BTC?

If bitcoin fails to climb above $57,700 and $58,000, there could be a downside correction. As stated, the $56,500 level is a decent support zone.

The next major support is near the $56,000 level and a connecting bullish trend line. Any more losses might call for a drop towards the $55,000 support zone in the near term.

Technical indicators:

Hourly MACD – The MACD is slowly losing momentum in the bullish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is approaching the 50 level.

Major Support Levels – $56,500, followed by $56,000.

Major Resistance Levels – $57,700, $58,500 and $60,000.

30th March 2021

Heads Up: Bearish Bitcoin Technical Pattern Shouldn’t Be Shrugged Off

Bitcoin price is struggling to get back above $60,000 currently, but bears thus far have been unable to swat price action away from local highs. The push and pull between the two opposing market forces have resulted in a bearish price pattern potentially forming, that anyone paying attention to cryptocurrency might want a heads up about.

If bulls ultimately shrug off the recent attempt to take over by bears, new highs are ahead. However, if this technical pattern confirms, the first significant correction could be coming sooner than later in crypto.

Bitcoin Price Peaks Could Be Forming Head And Shoulders Reversal Pattern

Bitcoin price action in 2021 thus far has been like a rocket ship without any atmosphere to penetrate, soaring without any formidable resistance. It is only recently after reaching above the current highs over $60,000 that the cryptocurrency has struggled to continue toward new highs with ease.

The most recent resistance level has led to weeks of consolidation, switching from bearish to bullish and back on shorter timeframes, while the underlying trend has remained “only up.”

The natural tug of war between buyers and sellers have left a zig-zagging pattern on the price chart that – if things turn down from here – could soon form a head and shoulders reversal pattern.

The pattern is only a little more than two-thirds of the way through, currently near what should be the inflection point of the pattern.

bitcoin daily head and shoulders

A head and shoulders could take bulls by surprise, before moving higher again | Source: BTCUSD on TradingView.com

The Ongoing Showdown Between Bullish BTC Fundamentals And Bearish Technicals

The battle between buyers and sellers of Bitcoin is currently at an impasse, and when either side eventually waves the white flag, there could be a long streak of green or red to follow.

If the pattern is invalidated with a rise to a new all-time high, the cryptocurrency’s bull run is back on full steam, and could see prices a lot closer to $100,000 per coin within the next month or two.

If price action cannot sustain and push higher, the pattern will confirm, any long positions built in the area will be forced to cover, and much larger move down could result.

Technically, based on the measure rule, a return to around $40,000 per coin would be the target of the bearish structure, but would be far from putting the greater bull trend in jeopardy.

A correction, very well could even be healthy, even if price action goes deeper than most would expect. Technical indicators are overheated, and market sentiment could use a reality check.

Regardless of these factors, however, fundamentally, the bull run isn’t going anywhere anytime soon. Despite indicators so hot and bothered, fundamentals have barely flinched in the face of the ongoing consolidation slash correction.

What few coins are left on exchange are leaving at a rate of tens of thousands per week, and most adoption metrics haven’t reached previous signs that might indicate a peak is in.

All of these factors conclude that Bitcoin could see an overdue correction, but any dips would continue to be bought up by institutions.

Featured image from Pixabay, Charts from TradingView.com

29th March 2021

TA: Bitcoin Corrects Gains, Why BTC Remains Attractive Near $54K

Bitcoin price started a steady increase and tested the $56,500 zone against the US Dollar. BTC is now correcting gains, with many supports near $54,000.

Bitcoin traded as high as $56,694 before starting a downside correction.
The price is still above the $54,000 support and the 100 hourly simple moving average.
There was a break below a key bullish trend line with support near $55,500 on the hourly chart of the BTC/USD pair (data feed from Kraken).
The pair is likely to find a strong buying interest near the $54,000 support zone in the near term.

Bitcoin Price Remains Supported

After a clear break above the $53,200 resistance, bitcoin extended its rise. BTC broke the $55,000 resistance level and settled nicely above the 100 hourly simple moving average.

It even spiked above $56,500 and traded as high as $56,694. It is now correcting lower and trading below the $56,000 level. There was a break below the 23.6% Fib retracement level of the upward move from the $50,400 swing low to $56,694 high.

There was also a break below a key bullish trend line with support near $55,500 on the hourly chart of the BTC/USD pair. The pair is now consolidating near the $55,000 level.

Source: BTCUSD on TradingView.com

An initial support on the downside is near the $54,500 level. The first major support is near the $54,000 zone and the 100 hourly simple moving average. The next major support is near the $53,500 level. It is close to the 50% Fib retracement level of the upward move from the $50,400 swing low to $56,694 high.

A downside break below the $53,500 and $53,200 support levels could negate the current bullish bias. In the stated case, the price is likely to revisit $50,500.

Fresh Increase in BTC?

If bitcoin stays above the $54,000 support zone and the 100 hourly SMA, there are chances of a fresh increase. An initial resistance on the upside is near the $56,200 zone.

The first major resistance is near the $56,500 level. The main resistance is still near $57,000 and $57,200, above which the price is likely to rally further.

Technical indicators:

Hourly MACD – The MACD is slowly losing momentum in the bullish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now just below the 50 level.

Major Support Levels – $54,500, followed by $54,000.

Major Resistance Levels – $56,000, $56,500 and $57,200.

28th March 2021

Why Bitcoin Price Could Rally If It Settles Above $57K

Bitcoin price is recovering nicely above $55,000 against the US Dollar. BTC is likely to start a strong increase if there is a daily close above the $57,000 resistance.

Bitcoin started a fresh increase above the $55,000 and $55,500 resistance levels.
The price is now well above $55,000 and the 100 simple moving average (4-hours).
There was a break above a major bearish trend line with resistance near $55,000 on the 4-hours chart of the BTC/USD pair (data feed from Kraken).
The pair could rally towards the $60,000 level if there is a close above the $57,000 resistance zone.

Bitcoin Price is Showing Positive Signs

This past week, bitcoin price testes the $50,500 support zone and started a fresh increase against the US Dollar. The BTC/USD pair formed a support base above $52,000 and recently started a fresh increase.

The price broke the $53,000 and $53,500 resistance levels to move into a positive zone. It opened the doors for a break above the $55,000 resistance zone. There was a break above the 50% Fib retracement level of the downward move from the $57,235 swing high to $50,400 swing low.

Source: BTCUSD on TradingView.com

Moreover, there was a break above a major bearish trend line with resistance near $55,000 on the 4-hours chart of the BTC/USD pair. The pair is now trading above the 76.4% Fib retracement level of the downward move from the $57,235 swing high to $50,400 swing low.

An immediate resistance is near the $57,000 level and the 100 simple moving average (4-hours). A successful break and close above the $57,000 resistance zone could open the doors for a move towards the $60,000 resistance zone in the coming sessions.

Fresh Decline in BTC?

If bitcoin fails to settle above the $57,000 resistance or the 100 simple moving average (4-hours), there is a risk of a fresh decline. An initial support on the downside is near the $55,500 level.

The first key support is near the broken trend line and $55,000. A clear break below the $55,000 support might open the doors for another decline. In the stated case, the price could decline towards the $53,200 level or even $53,000.

Technical indicators

4 hours MACD – The MACD for BTC/USD is gaining momentum in the bullish zone.

4 hours RSI (Relative Strength Index) – The RSI for BTC/USD is now moving nicely above the 50 level.

Major Support Level – $55,500

Major Resistance Level – $57,000

27th March 2021

Pizza Day 2.0: Buying A Tesla With Bitcoin Could Be A Mistake

Bitcoin price has seen some serious volatility ever since Elon Musk revealed on Twitter that his company Tesla would begin accepting Bitcoin as a form of payment.

Almost immediately, the social media platform was filled with screenshots of those filling orders, but these eager buyers ready to exchange their coins could end up living with enormous regret. Here’s how two delicious pizzas fit into that puzzle, and why even something more valuable like a Tesla could still be a bad purchase in the end.

How Spending BTC On A Tesla Could Be An Enormous Mistake

This week, Tesla and SpaceX CEO and Founder Elon Musk revealed the green car auto maker had enabled the company’s website to accept Bitcoin as a form of payment for the vehicles offered.

The internet was set abuzz with the news, and the price per coin soared initially. A rejection at resistance shook up the market for a brief stint – ahead of this week’s historic options expiration.

A Tesla is the new pizza

10 years from now people will be amazed that someone spent a whole #Bitcoin for a Tesla

— Max Keiser (@maxkeiser) March 25, 2021

But as crypto bull Max Keiser points out, ten years from now, people will be shocked that someone was foolish enough to have spent a whole Bitcoin on a Tesla.

The comment isn’t meant as an insult to anyone taking the plunge and buying a Tesla with their coins, but is a reality that hindsight might end up making the purchase a regrettable one. Returning a Tesla is also a catch-22 for those paying in BTC.

The One Time Eating Pizza Was Regrettable, But Without It Bitcoin Might Not Be

On May 22, 2010, Laszlo Hanyecz announced via the BitcoinTalk forum that he had successfully purchased two pizzas in exchange for a total of 10,000 BTC.

At the time, the coins were worthless by all standards, not even yet trading for a penny each. In his mind, he was getting a great deal and making history by completing the first ever documented transaction for goods involving Bitcoin.

bitcoin lazlo pizza

Laszlo Hanyeczcspent 10,000 BTC on pizza, now worth around half a billion USD | Source: BTCUSD on TradingView.com

Today, those 10,000 BTC are worth half a billion dollars, making those two pizzas the most regrettable pizzas of all-time. Even someone who got food borne illness from a pie, would have less lasting impact than wondering what could have been.

A Tesla now costs nearly a full coin – which is a heck of a lot more valuable than two pizzas. However, given how fast cars depreciate the moment they’re driven off the lot, and how far Bitcoin could ultimately climb in years to come, could make buying a Tesla with BTC just as regrettable as Laszlo’s transaction in 2010.

In ten years’ time, people could be appalled by the idea of spending a full coin on a car. The major difference between these people and Laszlo, is that he’s a pioneer that will forever by synonymous with the history of the cryptocurrency, potentially being a primary factor in its development into what it has become today.

Who knows, without his proof-of-concept purchase of two pizzas, the technology might have failed to gain mainstream adoption. And while buying a Tesla is cool and all, there’s nothing more recognizable than a delicious pizza pie.

Featured image from Deposit Photos, Charts from TradingView.com

26th March 2021

Massive Coinbase Outflows Suggest Bitcoin Price Is Ready To Bounce

Bitcoin price is reeling from a strong rejection from above $60,000 that has sent the leading cryptocurrency by market cap tumbling back down by more than $10,000 per coin. However, massive ongoing outflows of BTC continue to leave popular cryptocurrency exchange Coinbase Pro at an alarming rate.

The overall lack of BTC supply that only shrinks further by the day, will once again be dominated by demand, potentially causing the previously trending cryptocurrency to bounce. Could that bounce develop into a resumption of the historic uptrend? Here’s what fundamentals are saying about further continuation or correction for Bitcoin price ahead.

Coinbase BTC Outflows Continue, What Corporations Are Potentially Buying The Dip?

Bitcoin price is down more than $10,000 from its current all-time high, yet still more than double the previous peak set back in 2017.

The leading cryptocurrency has now spent more than 100 days above the former high, and likely will never return to levels near or below it.

In fact, Bitcoin price action might not deviate much lower than current levels, thanks to massive Coinbase Pro outflows.

I think y’all know what massive outflows from Coinbase Pro usually means.$BTC pic.twitter.com/QS3LK39WZW

— Joseph Young (@iamjosephyoung) March 26, 2021

Thousands of BTC leaving the popular cryptocurrency exchange catering to institutional investors has been called the most bullish signal “ever” and that was hundreds of thousands of BTC ago.

Technical factors are overheated in the cryptocurrency after such a sizable price increase, but soon, fundamentals could take over leading to a strong bounce.

Bitcoin Price To Bounce As Supply Shock Expected To Overpower Bearish Technicals

Thus far, the presence of institutions and corporations with deep wallets and cash reserves with dwindling buying power has left very little room for corrections.

Dips are being bought up long before retracements reach to past bull market totals, but that doesn’t mean momentum can’t finally turn down for even a brief time.

bitcoin coinbase corproations

Institutions and corporations buying each dip is preventing any serious corrections | Source: BTCUSD on TradingView.com

But eventually, regardless of any technical factors, no BTC left to buy could cause a supply shock that drives prices to hundreds of thousands of dollars per coin before demand begins to wane again, and available supply returns to exchanges for investors to take profit.

At that point, the top will be in. For now, the ongoing massive outflows suggest the top is nowhere near in sight, and that bigger players are currently buying the blood in the streets.

The line in the sand drawn between bears and bulls moving higher lies at $60,000. Another move beyond that level could be an all-clear sign that the rally is ready to continue higher.

Featured image from Deposit Photos, Charts from TradingView.com

26th March 2021

TA: Bitcoin Steadies Above $50K, Why BTC Could Recover To $55K

Bitcoin price extended its decline and traded close to $50,000 against the US Dollar. BTC is now consolidating losses and it is likely to start a recovery towards $55,000.

Bitcoin extended its decline below $52,500 and $51,200 support levels.
The price is now trading well below $55,000 and the 100 hourly simple moving average.
There is a key contracting triangle forming with resistance near $52,500 on the hourly chart of the BTC/USD pair (data feed from Kraken).
The pair is likely to correct higher towards $54,500 or even $55,000 if it clears $53,150.

Bitcoin Price Extends Losses

After a break below $53,000, bitcoin extended its decline. BTC broke the $52,500 and $51,200 support levels to move further into a bearish zone.

The bears even aimed a test of $50,000. However, the price remained stable above $50,500. A low is formed near $50,400 and the price is now consolidating losses. It is trading well below $55,000 and the 100 hourly simple moving average.

Recently, there was a correction above the $51,500 level. The price climbed above the 23.6% Fib retracement level of the recent decline from the $57,234 high to $50,400 low.

Source: BTCUSD on TradingView.com

There is also a key contracting triangle forming with resistance near $52,500 on the hourly chart of the BTC/USD pair. If there is an upside break above the triangle resistance, the price could even break $53,150. The next key resistance is near the $53,800 level.

The 50% Fib retracement level of the recent decline from the $57,234 high to $50,400 low is also near $53,800. A successful break above $53,800 is likely to open the doors for a move towards $54,500 or $55,000.

Fresh Drop in BTC?

If bitcoin fails to correct higher above $52,500 and $53,150, there are chances of more downsides in the near term. An initial support is near the $51,000 level and the triangle lower trend line.

The first key support is now near the $50,500 level, below which the price is likely to test the $50,000 support zone. Any more losses might push the price towards the $48,000 support zone in the near term.

Technical indicators:

Hourly MACD – The MACD is slowly gaining momentum in the bullish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now just above the 50 level.

Major Support Levels – $51,000, followed by $50,500.

Major Resistance Levels – $52,500, $53,150 and $54,500.

26th March 2021

Crypto Analyst Claims MicroStrategy Is “On The Ropes” Amidst Bitcoin Selloff

MicroStrategy and its head honcho Michael Saylor have become synonymous with Bitcoin, responsible for kicking off the corporate treasury reserve trend that’s transpired ever since.

As a result of the innovative, albeit risky move, company shares skyrocketed to revisit dot com-bubble resistance levels. The rejection, has left MicroStrategy “on the ropes” amidst the recent Bitcoin selloff, suggesting things could potentially get a lot deeper.

Michael Saylor Keeps Buying Bitcoin As Prices Plummet

Raging Bitcoin bull Michael Saylor has spent the last several months being the mouthpiece of the top cryptocurrency by market cap, essentially acting as its CEO, marketing department, corporate business development manager, and social media manager all-in-one.

He uses his platform as a way to spread the word about the cryptocurrency’s value, which he has repeatedly double, and tripled down on, and then some.

At the rate he’s going, the guy will have a wallet containing more BTC than Satoshi another year or so from now. Up until recently, this has been paying off dramatically for Saylor and anyone he influenced and bought BTC, as the price per coin has been rising substantially.

microstrategy Bitcoin btc saylor

MicroStrategy shares went parabolic like Bitcoin | Source: NASDAQ-MSTR on TradingView.com

In tandem, the price per share of MicroStrategy (MSTR) also went parabolic, mimicking the current Bitcoin price chart.

The recent selloff and potential peak in the leading cryptocurrency by market cap, is following a similar trajectory downward after doing the same on the way up.

MicroStrategy Shares On The Ropes, Here’s Why Investors Could Be Uneasy

MicroStrategy shares are now “on the ropes,” according to one top crypto analyst. A potential retest could be in progress, and if the attempt fails, it could be a technical knock out for the corporation’s crypto-fueled rally.

But could this also mean that sentiment is shifting enough in Bitcoin for MicroStrategy to be affected this negatively? That same theory vice versa doesn’t make sense.

Whatever the case may be, there is a chance that Saylor’s bet on Bitcoin will be right, but was still a little too soon for the cryptocurrency.

microstrategy Bitcoin btc saylor bitcoin

Michael Saylor's company shares were hit hard post dot com era | Source: NASDAQ-MSTR on TradingView.com

Where the recent MicroStrategy rally topped out, was at resistance dating back to the dot com bubble. When that popped, Saylor was reportedly left as one of that era’s biggest losers financially, according to Fortune Magazine. Saylor had lost a total of $13.5 billion.

Related Reading | Why March Is The Bloodiest Month In Bitcoin History

Once again, Saylor could end up losing out big due to his commitment to being a pioneer in the cryptocurrency. The bold bet in Bitcoin has paid off, but his continued push has made many investors question his speculative bet – which could be behind the correction in MicroStrategy shares in the first place.

Featured image from Deposit Photos, Charts from TradingView.com

25th March 2021

TA: Bitcoin Breaks $53K, Why BTC Could Soon Revisit $50K

Bitcoin price attempted a recovery above $56,000 against the US Dollar, but it struggled above $57,000. BTC trimmed gains and it even broke the $53,200 support zone.

Bitcoin extended its decline below $53,200 and $53,000 support levels.
The price is now trading well below $54,000 and the 100 hourly simple moving average.
There was a break below a key bullish trend line with support near $54,220 on the hourly chart of the BTC/USD pair (data feed from Kraken).
The pair is likely to continue lower towards the $51,000 and $50,000 levels in the near term.

Bitcoin Price Extends Losses

Yesterday, bitcoin started a decent recovery above the $55,500 and $56,000 levels. BTC even spiked above the $57,000 resistance and the 100 hourly simple moving average.

However, the price struggled to continue higher and it started a fresh decline from the $57,235 high. It broke a few important supports near the $56,000 and $55,500 levels. There was also a break below a key bullish trend line with support near $54,220 on the hourly chart of the BTC/USD pair.

The price even declined below the $54,000 support level and the $53,200 pivot level. It traded to a new weekly low at $51,634 and it is now consolidating losses. An initial resistance is near the $53,000 level. It is close to the 23.6% Fib retracement level of the recent decline from the $57,235 high to $51,634 low.

Source: BTCUSD on TradingView.com

The first major resistance is near the $53,200 pivot level. If there is a fresh increase above $53,200, the price could recover towards the $54,500 level. The 50% Fib retracement level of the recent decline from the $57,235 high to $51,634 low is also close to $54,500.

More Losses in BTC?

If bitcoin fails to correct higher above $53,200 and $54,500, there are chances of more downsides in the near term. An initial support is near the $51,500 level.

The first key support is now near the $51,000 level, below which the price is likely to test the $50,000 support zone. Any more losses might call for a move towards the $48,000 level.

Technical indicators:

Hourly MACD – The MACD is now gaining momentum in the bearish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now well below the 40 level.

Major Support Levels – $51,000, followed by $50,000.

Major Resistance Levels – $53,200, $54,500 and $55,000.

25th March 2021

Internet Celebrities Lead $5M Investment In Bitcoin Reward Program Lolli

Lolli, a BTC-back Bitcoin rewards program, has just completed a a $5M pre-Series A funding round, backed by a variety of popular internet celebrities and influencers.

Here’s more on what names are behind the $5 million in investment, and how Lolli has grown since its inception.

Internet Celebrities, Alex Ohanian and Serena Williams, Invest $5M In Bitcoin Rewards Firm

Bitcoin rewards company Lolli just revealed it has successfully raised $5 million in funding as part of a pre-Series A funding round with a notable list of investors.

Of those involved are several internet celebrities, including Reddit co-founder Alexis Ohanian, popular YouTuber Jimmy “MrBeast” Donaldson, Casey Neistat, Philip DeFranco, and CodyKo. Other notable figures include Serena Williams, who join other early investors such as Ashton Kutcher and Michelle Phan.

Related Reading | This Bitcoin Metric Says The Top Is Still 350% Away

These investors have become involved through their respective firms, Serena Ventures, her husband’s Seven Seven Six, and Mr. Beast management company Night Media, who are building into the future of Lolli alongside Digital Currency Group and others.

Lolli co-founder Alex Adelman says the company has issued more than $3 million in Bitcoin rewards to date, ranging around an average of 7% BTC-back rewards at a growing list of major retailers.

bitcoin lolli

Bitcoin has grown significantly, but these bullish factors could fuel another leg higher | Source: BTCUSD on TradingView.com

Top Lolli Users Earn 2 BTC, More Than $3 Million In Rewards Combined

Lolli boasts more than 250,000 users who can earn BTC back on purchases at retailers like Macy’s, Best Buy, Sephora, Foot Locker, and hundreds of others. These 250,000 users have collectively earned more than $3 million in Bitcoin rewards since the program’s inception.

Top users, says the company, have earned as much as 2 BTC. Most have generated enough returns on the BTC they’ve earned, to pay for the original purchases they made in the first place.

The rewards program works through a browser extension for Chrome, Firefox, Brave, and others, letting users know when they’ve landed on a partner that they can earn rewards with. Once Lolli is enabled in-browser, simply complete the transaction, and BTC will eventually be credited to your account.

https://twitter.com/CircaDiem/status/1374714223570

That same account can also be tied to a smartphone app that lets users open a “loot box” for a daily stack of Bitcoin. Granted, these are typically tiny stacks of satoshi – the smallest unit of account of BTC – but there’s an occasional chance to win much larger cryptocurrency surprises.

The company will use the recent funding to build out the mobile app into a full shopping experience, and expand outside of the United States United States. Lolli is free to use, and at only 250,000 users globally, has enormous room to grow.

Featured image from Lolli, Charts from TradingView.com

24th March 2021

Stablecoin Supply Rising, Diminishing Bitcoin Reserves Ready To Fuel Next Leg Up

Bitcoin price is back in the mid-$50,000 range, unable to push any lower despite bears best efforts and overheated technical indicators pointing to a potential trend reversal. However, several fundamental factors are proving to be too strong, and are setting the stage for the next leg up in the ongoing cryptocurrency bull trend instead.

Here’s what rising stablecoin supply says in the face of diminishing BTC reserves on exchanges, and what it could mean for all of crypto.

Fundamental Factors Have Fueled The Cryptocurrency’s Recent Rise To Stardom

Cryptocurrencies, like all free markets, are driven by the dynamic forces of supply and demand. Other factors, such as regulatory, political, environmental, and economical issues can also have a dramatic impact.

Two examples of one extreme or another, include the Black Thursday market crash due to pandemic panic, and the polar opposite move to the upside due to a BTC supply shock.

bitcoin btc stablecoins reserve

Bitcoin has grown significantly, driven by bullish fundamentals | Source: BTCUSD on TradingView.com

A shift in avalaible supply and increasing demand for Bitcoin, has brought the price per coin to more than $60,000 at the high. Technicals have been mostly overheated the entire way up, and are reaching a boiling point.

Yet prices still aren’t falling any deeper than the mid-to-low $50,000 range, and it could be due to just how strong fundamental factors are currently.

The Bullish Factors Keeping Bitcoin Afloat, Another Leg Up Possible

Among the factors keeping Bitcoin price action afloat despite technical momentum indicators turning sharply down, is the continued lack of BTC on crypto exchanges. The liquidity crisis that has driven up prices so far, remains a vital factor in the buoyancy.

Related Reading | This Bitcoin Metric Says The Top Is Still 350% Away

Next, stablecoin supply has been steadily rising again, one of the primary factors behind each bullish impulse on the way up. Quant analysts have said that fresh USD was necessary to push higher, however, an increase in stablecoins could shift more capital into Bitcoin, and have a similar impact.

bitcoin btc stablecoins

Stablecoin reserves continue to rise while BTC held on exchanges drops further | Source: CryptoQuant

If the leading cryptocurrency by market cap can sustain the current support levels and keep several bearish technicals at bay, then another leg up is the only way ahead. A continued rise could squeeze shorts at current all-time highs, causing prices to return to their parabolic trajectory.

If not, however, technicals will have outweighed fundamentals for the first time during the bull market, and it could result in the first more sizable correction since it all first began.

Will the increasing supply of stablecoins and low BTC reserve be enough to shake off momentum flipping bearish?

Featured image from Deposit Photos, Charts from TradingView.com

24th March 2021

TA: Why Bitcoin Price Remains At Risk of More Losses Below $53K

Bitcoin price failed to correct above the $55,750 zone against the US Dollar. BTC is showing bearish signs and it remains at a risk of more losses below $54,000.

Bitcoin failed to correct higher and it struggled to settle above $55,500.
The price is now trading well below $55,500 and the 100 hourly simple moving average.
There is a key bearish trend line forming with resistance near $56,000 on the hourly chart of the BTC/USD pair (data feed from Kraken).
The pair is likely to decline heavily if it fails to stay above $54,000 and $53,750.

Bitcoin Price Signaling Bearish Signs

Yesterday, we saw a crucial decline in bitcoin below the $55,500 support zone. BTC even broke the $54,000 level before starting an upside correction.

There was a recovery above the $55,000 resistance. The price even climbed above $55,500, but there was no follow up move. A high was formed near $55,757 before the price declined again. It broke the $55,000 support zone.

It is now trading well below $55,500 and the 100 hourly simple moving average. There is also a key bearish trend line forming with resistance near $56,000 on the hourly chart of the BTC/USD pair.

Source: BTCUSD on TradingView.com

An initial resistance on the upside is near the $54,650 level. It is near the 50% Fib retracement level of the recent drop from the $55,757 high to $53,504 low. The first major resistance is near the $54,850 and $55,000 levels.

The 61.8% Fib retracement level of the recent drop from the $55,757 high to $53,504 low is also near $54,850. To start a steady recovery, the price must settle above $55,000 and $55,500. The next major resistance for the bulls could be near the $57,000 region.

More Losses in BTC?

If bitcoin fails to correct higher above $55,000 and $55,500, there are chances of more downsides in the near term. An initial support is near the $54,000 level.

The key support is now near the $53,150 level, below which the bears might aim a test of the $50,000 support zone in the near term.

Technical indicators:

Hourly MACD – The MACD is now gaining momentum in the bearish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now well below the 50 level.

Major Support Levels – $53,000, followed by $51,750.

Major Resistance Levels – $54,850, $55,000 and $55,500.

24th March 2021

Five Signs Litecoin Has Bottomed, Next In Line For New ATH

Litecoin during the last cycle was as popular and hyped as other top cryptocurrencies Bitcoin and Ethereum. This time around, however, the coin called digital silver isn’t performing anywhere nearly as well as its digital gold counterpart or even other altcoins.

Whatever has been causing the lag behind the rest of the market, there are several signs that the altcoin has bottomed and is the next cryptocurrency in line to set a new all-time high.

Five Technical Signs That Point To A Bullish Litecoin Revival

This bull market has been dominated primarily by Bitcoin, Ethereum, and innovative new blockchain-based technologies like DeFi and NFTs.

Among the year’s top performers, nowhere to be found on that list would be Litecoin – an altcoin that during the last bull market rose as furiously as Bitcoin, and peaked weeks ahead of Ethereum.

During this cycle, Litecoin is lagging well behind these other top ten assets with serious longevity. Although Litecoin has maintained its position within the top ten, it is finally at risk of falling out of it and is currently ranked in ninth place overall.

But before that could happen, the altcoin could finally see a strong bounce according to several technicals.

ltcusd Adam and Eve bottom

A textbook example of an Adam and Eve bottom formation | Source: LTCUSD on TradingView.com

First and foremost, on the rarely used six-week timeframe on LTCUSD the trading pair, Litecoin has completed one of the technically cleanest Adam and Eve bottom formations in crypto.

The projected target based on the measure rule should send Litecoin to nearly double its previous all-time high within weeks once things do turn around.

ltcbtc td 13

A TD 13 typically suggests a trend is reaching the maximum point of exhaustion | Source: LTCBTC on TradingView.com

Switching to the LTCBTC trading pair, quarterly timeframes are signaling that the brutal downtrend could be completely exhausted with a TD 13 and a sweep of former lows.

A quarterly candle has never traded below the current level, making a reversal at this zone all the more likely.

Did you know? RSI can also act as support and resistance for price action | Source: LTCBTC on TradingView.com

On monthly timeframes, the altcoin has been trading against Bitcoin in a falling wedge pattern, and after four years of a bear market, finally touched down on RSI support.

At the same time, Litecoin has fallen to support dating back to the 2017 bottom, just before the altcoin began its extended, four-year descent against the top cryptocurrency.

Is this the bullish signal Litecoin bag holders have been waiting for? | Source: LTCBTC on TradingView.com

Zoomed in further to weekly timeframes, a bullish divergence on the Relative Strength Index has been building since around mid-2020.

If the bullish divergence fails, Litecoin will set new lows against Bitcoin. If confirmed, the reversal should begin well into 2021 before the total cryptocurrency market tops out once again.

 Litecoin is severely lagging behind Ethereum and Bitcoin | Source: LTCUSD on TradingView.com

The fact that Litecoin remains so far behind Bitcoin and Ethereum, despite reaching its all-time high before the other two during the last cycle, could indicate that the peak of the crypto market is nowhere near.

When Litecoin does break out against Bitcoin, it is historically one of the largest and most profitable plays in crypto. But as price action has recently shown, history doesn’t always repeat.

When will Litecoin finally shine again?

Featured image from Deposit Photos, Charts from TradingView.com

23rd March 2021

Bitcoin Technicals Overheated, But Bullish Fundamentals Remain Unfazed

Bitcoin price is currently reeling due to a series of rejections above $60,000. After such a powerful impulse upward, technicals are severely overheated and beginning to turn down.

But regardless of any technical-driven selloff that might result, such continued bullish fundamentals in the leading cryptocurrency by market cap could keep prices from going too low, and rebounding quickly even if they do.

Bearish Bitcoin Technicals Hint At First Serious Correction Ahead

After six full months of green candles and growth of nearly $10,000 per month during that bullish stretch, the top cryptocurrency is finally starting to pull back from record highs.

With the critical quarterly close just a week away, Bitcoin would need to pump by more than $30,000 to avoid the first ever bearish divergence. Most timeframes below it down to the weekly, are also starting to signal a downturn ahead.

bitcoin bearish technicals

Several technical indicators suggest that Bitcoin should see a correction ahead | Source: BTCUSD on TradingView.com

The MACD – a momentum measuring indicator has flipped bearish for the first time in months, while the Stochastic indicator is running out of room within an ascending trendline after spending all of 2021 so far in zone that leaves the cryptocurrency exposed to the risk of a reversal.

The weekly Relative Strength Index also lost the uptrend line, and has since confirmed it as resistance, matching the pattern from the 2019 peak.

This is just the tip of the iceberg in terms of bearish signals, but fundamentals are here to save the day.

Why Fundamentals Will Keep The Crypto Bull Market Running Strong

There’s no denying that by most technical indicator’s standards, things should be bearish for Bitcoin and could be in terms of price action in the near term. However, fundamentals are simply so strong, that even this heated of technical signals won’t stay that way very long with a decent reset in price action.

Any corrections in Bitcoin are likely to be bought up extremely fast due to the ongoing secular shift, and limited supply.

BTC reserves

On-chain metrics show BTC reserves remain low, and fundamentals are healthy | Source: glassnode

The amount of BTC held on exchanges continues to diminish, with more than ten thousand of what little coins remain leaving Coinbase at a weekly rate.

There’s already a supply shock due to the cryptocurrency’s halving last year, and the sudden demand from institutions and corporations with deep wallets.

bitcoin hodl waves

Holders have very little interest in selling at current levels. Will it pay off? | Source: glassnode

Bitcoin investors during this cycle, have mostly been unwilling to sell and haven’t reached the peaks that are reminiscent of past bull market tops.

Bitcoin miners have also reduced the sell pressure they were putting on the market, leaving only large sized whales left to help push overheated technicals along.

These whales have indeed been selling, causing one of the largest reductions in wallets of whale size historically. With big sellers who bought coins long ago finally gone, all that’s left are an incoming wave of whales, ready to buy what’s available of the dwindling supply.

This could indicate, that any deeper selloff will be swift, violent, but lead back to higher prices ultimately, thanks to just how bullish Bitcoin fundamentals are.

Featured image from Deposit Photos, Charts from TradingView.com

23rd March 2021

TA: Bitcoin Drops To $54K, Why Recovery Could Be Limited In Short-Term

Bitcoin price extended its decline below the $55,500 support zone against the US Dollar. BTC is currently recovering, but it is likely to struggle near $55,500 and $56,450.

Bitcoin failed to clear $58,000 and it started a fresh decline below $57,000.
The price is now trading well below $56,450 and the 100 hourly simple moving average.
There was a break below a key contracting triangle with support near $56,800 on the hourly chart of the BTC/USD pair (data feed from Kraken).
The pair is likely to continue lower if it fails to recover above $55,500 and $56,450.

Bitcoin Price Extends Losses

There was no clear upside break in bitcoin above the $58,000 resistance zone. As a result, BTC broke the $56,450 support zone to move into a bearish zone (as discussed in yesterday’s analysis).

The bears took control and the price even failed to stay above the $55,500 support level. There was a break below a key contracting triangle with support near $56,800 on the hourly chart of the BTC/USD pair. There was also a spike below the $54,500 support and the price tested the $53,750 support.

A low is formed near $53,786, and the price is now trading well below $56,450 and the 100 hourly simple moving average. Bitcoin is currently recovering and trading above $54,500. It cleared the 23.6% Fib retracement level of the recent decline from the $58,400 high to $53,783 low.

Source: BTCUSD on TradingView.com

The first major resistance is near the $55,500 level. The next major resistance is near the $56,000 level. It is close to the 50% Fib retracement level of the recent decline from the $58,400 high to $53,783 low.

The main resistance is now forming near the $56,450 level, above which the price might revisit the key $58,000 breakout resistance zone.

More Losses in BTC?

If bitcoin fails to correct higher above $55,500 and $56,000, there are chances of more downsides in the near term. An initial support is near the $54,000 level.

The key support is now near the $53,750 level, below which the bears might aim a test of the $50,000 support zone in the near term.

Technical indicators:

Hourly MACD – The MACD is losing pace in the bearish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now below the 50 level.

Major Support Levels – $54,000, followed by $53,750.

Major Resistance Levels – $55,550, $56,000 and $56,450.

23rd March 2021

How Bitcoin Price Could Shed 50 To 70% If Momentum Turns Down

Bitcoin price is down nearly 10% from recent highs set earlier this month, but the underlying strength of the price action is beginning to fade ever so slightly.

The weekly MACD is also turning , potentially ready to cross over for the first time in months. Here’s how such a bearish crossover could result in as much as a 50 to 70% correction in the leading cryptocurrency by market cap.

Is The Bitcoin Bull Market Coming To A Conclusion Soon?

Bitcoin by most standards has been in uptrend for a full year now, dating back to Black Thursday in March 2020. The trend began to turn slightly up even before then, dating back to the bottom of the bear market in 2018.

From that bottom, the top cryptocurrency rocketed from lows but momentum finally ran out before new highs were reached. This last push, was successful in breaking through former resistance and setting a new all-time high three times the last cycle’s peak.

However, things could be once again turning down, much like they did in 2019. Or worse yet, according to the Moving Average Convergence Divergence on weekly timeframes, this could be the end of the bull market for some time.

At the very least, data shows that if a bearish crossover happens – something that Bitcoin is just inches away from – a between 50 to 70% correction typically follows.

bitcoin btc whales

Momentum is turning down, and past instances show steep corrections | Source: BTCUSD on TradingView.com

What Momentum Says About The Current Cryptocurrency Market Cycle

Looking at the above chart, the correlation between the logarithmic version of the MACD and past peaks are undeniable. When the MACD crosses bearish on weekly timeframes, it has been a reliable signal the top is in.

The one catch, is that the reading must be above 0.25 to be effective in spotting the top. It’s also worth noting, that each top actually happened before the bearish crossover, which is why the MACD has a notorious reputation as a lagging indicator.

lmacd bitcoin

A more detailed look at the LMACD reveals a lot about price action | Source: BTCUSD on TradingView.com

Removing price action, and focusing on the details of the LMACD alone, tells an in-depth story about price action over the last several years.

Any red arrows marked a medium-to-long-term top. Each were above the key level of 0.25, and three out of four are brushing up a descending trendline, which the LMACD is currently touching now. Two out of those three were tops, but there’s no telling if the third time is the charm.

Arrows marked in orange also show yet another 50 to 70% collapse after the original 50 to 70% crash has concluded, but those were sweeps of bear market lows. Blue arrows are a lot more confusing, resulting in bearish crossovers and selloffs, but also an immediate resumption of the bull trend.

Which is what brings Bitcoin to an interest inflection point currently. The LMACD is, as mentioned, touching a trendline dating back nearly a decade worth of bull market tops, adding credence to any theories that the peak of this cycle could be in already.

But its worth mentioning also, that due to the several blue arrows, and the fact that Bitcoin already broke through one descending trendline (red dashed line) could suggest that this current run is going to break more than just price records.

Finally, although a top could be in for now, there’s no ruling out a 2013-like scenario where there were two distinct peaks only seven months apart. That would imply that any bearish crossover, would ultimately turn back up similar to 2017, but bring with it another peak just like 2013.

Featured image from Deposit Photos, Charts from TradingView.com

22nd March 2021

This Bitcoin Metric Says The Top Is Still 350% Away

Bitcoin price is struggling to get back over $60,000 where the current all-time high record stands. However, according to one top crypto researcher’s take on the cryptocurrency’s Energy Value, the top is still as much as 350% away from here.

A rise from current prices by 350% as predicted, would bring the price per coin to as high as $260,000 each, matching the expected targets of other analysts. Here’s more about Bitcoin’s Energy Value Oscillator and why the analyst in question believes the bull market still has so much more room to grow.

Bitcoin Could Climb To $260,000 Per Coin, Based On Energy Value Oscillator

Bitcoin is a disruptive technology with the potential to change the world and money forever, but it also could be a complete failure. As time goes by, however, the scenario where the cryptocurrency fails diminishes, and instead, it continues to prove its potential to the world.

The cryptocurrency network takes energy and converts it into monetary power. It does so through a complex process called proof-of-work that involves specialized computers called miners.

As the cryptocurrency’s network grows, and more energy is being pumped into keeping it in operation – incentivized by new coins – the Energy Value of each coin also grows.

The Energy Value Oscillator, created by Bitcoin expert Charles Edwards, measures that activity and turns it into a technical indicator rooted in fundamentals – much like Edwards’ various other tools, such as the Hash Ribbons and more.

Comparing this tool and how high the metric rises during bull markets, Edwards projects another 350% rise in the future for the price per BTC.

bitcoin energy value

Theoretically, Bitcoin could rise another 350% compared to past cycles | Source: BTCUSD on TradingView.com

A 350% rise from current levels where the coin is trading now, would result in another $200,000 increase to a price of around $260,000 per coin.

Using the chart above, pulses of this nature are typically sharp and swift, over almost as fast as they begin. The current bull market going by previous cycle standards, only appears to be just beginning, and if did ultimately top out similarly to past cycles, would result in Edwards’ price target of $260,000 per BTC.

The one anomaly on the chart, as Edwards points out, was due to the introduction of ASIC miners, which created a sharp uptick in hash power being contributed to the Bitcoin network.

Peaks in bull markets are so visible because so many participants are pilled in at the top, looking for a piece of the pie. If the tool works the same in the future as it has in the past, that top appears to be nowhere near in sight.

Featured image from Deposit Photos, Charts from TradingView.com

22nd March 2021

TA: Why Bitcoin Price At Risk of A Fresh Drop To $54.5K

Bitcoin price failed to gain strength above the $60,000 resistance against the US Dollar. BTC is showing a few bearish signs and it could decline towards $54,500.

Bitcoin struggled to clear the $60,000 resistance and it declined below $58,000.
The price is now trading well below $58,000 and the 100 hourly simple moving average.
There is a key bearish trend line forming with resistance near $57,500 on the hourly chart of the BTC/USD pair (data feed from Kraken).
The pair is likely to continue lower towards $54,500 as long as it is below the $58,000 resistance.

Bitcoin Price Turns Red

After another failure to clear the $60,000 resistance, bitcoin started a fresh decline. BTC broke the $58,000 support level to move into a bearish zone.

There was also a break below the $56,500 support level. The price is trading well below $58,000 and the 100 hourly simple moving average. It traded as low as $55,544 before it started an upside correction. There was a break above the $56,500 and $57,000 levels.

The price climbed above the 50% Fib retracement level of the downward move from the $59,901 high to $55,544 low. However, the price failed to clear the $58,000 resistance and the 100 hourly simple moving average.

Source: BTCUSD on TradingView.com

There is also a key bearish trend line forming with resistance near $57,500 on the hourly chart of the BTC/USD pair. The pair also failed to clear the 61.8% Fib retracement level of the downward move from the $59,901 high to $55,544 low.

If it now showing bearish signs below the $57,800 and $58,000 levels. If there are more losses, the price could break the $55,544 low. The next major support for the bulls sits near $54,500.

Fresh Increase in BTC?

If bitcoin stays above the $55,544 low, it could start a fresh increase. An initial resistance on the upside is near the $57,800 level.

The main resistance is near the $58,000 level. A clear break above the $58,000 level may possibly push the price towards the key $60,000 resistance zone. Any more gains could start a pump towards the $62,000 level.

Technical indicators:

Hourly MACD – The MACD is slowly moving in the bearish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now below the 50 level.

Major Support Levels – $55,540, followed by $54,500.

Major Resistance Levels – $57,800, $58,000 and $60,000.

21st March 2021

Why Bitcoin Price Remains At Risk of Downside Break Below $57K

Bitcoin price is struggling to clear the $60,000 resistance against the US Dollar. BTC is likely to start a strong decline if there is a close below the $57,000 support.

Bitcoin failed to clear the $60,000 level and started a fresh decline below $59,000.
The price is still well above $55,000 and the 100 simple moving average (4-hours).
There is a key rising channel forming with support near $57,200 on the 4-hours chart of the BTC/USD pair (data feed from Kraken).
The pair could start a strong decline if there is a clear break below the $57,000 support zone.

Bitcoin Price is Correcting Gains

This past week, bitcoin price made an attempt to clear the $60,000 resistance against the US Dollar. However, the BTC/USD pair failed to settle above the $60,000 level and recently started a fresh decline.

There was a break below the $59,200 and $58,500 support levels. The price even traded below the 50% Fib retracement level of the upward move from the $56,367 swing low to $59,919 swing high. The price is still well above $55,000 and the 100 simple moving average (4-hours).

Source: BTCUSD on TradingView.com

It is approaching the $57,200 and $57,000 support levels. There is also a key rising channel forming with support near $57,200 on the 4-hours chart of the BTC/USD pair.

The channel support is close to the 76.4% Fib retracement level of the upward move from the $56,367 swing low to $59,919 swing high. If there is a downside break below the channel support, the price could decline towards the $55,000 support level. Any more losses might call for a move towards the $53,200 support.

Fresh Increase in BTC?

If bitcoin remains stable above the $57,000 support level, there are chances of a fresh increase in the near term. An initial resistance on the upside is near the $59,200 level.

The main resistance is still near the $60,000 level. A clear break above the $60,000 zone might open the doors for a strong increase. In the stated case, the price could rise towards the $62,000 level and to a new all-time high.

Technical indicators

4 hours MACD – The MACD for BTC/USD is losing bullish momentum in the bullish zone.

4 hours RSI (Relative Strength Index) – The RSI for BTC/USD is struggling to stay above the 50 level.

Major Support Level – $57,000

Major Resistance Level – $60,000

20th March 2021

How Elon Musk Is The Answer To Bitcoin Energy FUD

Bitcoin is constantly the subject of controversy, bringing out pundits, skeptics, and critics of all kinds and of various domains. Economists call it a bubble, investors call it rat poison, and environmentalists claim it is slowly killing the planet.

Energy FUD is an easy target for the cryptocurrency due to the complex, proof-of-work consensus algorithm that requires power to operate, but according to a relatively new figure in Bitcoin investing, the answer to dispelling the energy FUD lies in Elon Musk. But why?

The Bitcoin Network Energy Consumption Conundrum

When Bitcoin was first introduced more than ten years ago by Satoshi Nakamoto, nothing else like it existed in the world. Today, thousands of cryptocurrencies exist all based on some form of the original blockchain technology that launched with the Bitcoin network.

To solve the double-spend issue plaguing past attempts at making digital cash, and to keep the network itself and its assets decentralized – meaning able to function without a third-party intermediary such as a bank – Satoshi added the proof-of-work consensus mechanism.

Mining is the intensive process of converting energy into the computing power necessary to keep this system in operation. The larger the Bitcoin network grows, the more computing power and therefore energy is required to keep it chugging along.

The network now consumes more energy than small countries like Switzerland and Argentina, and as it expands, so will the demand for energy. The recent growth of Bitcoin adoption almost overnight has environmentalists sounding the alarms, but it isn’t nearly as bad as it seems.

In fact, one CEO could be the answer to the energy FUD once and for all.

bitcoin energy fud Elon musk

This retest could be a once-in-a-lifetime opportunity to get in before it is too late | Source: BTCUSD on TradingView.com

Coming To Save Crypto: How Elon Musk Is The Answer To Energy FUD

Elon Musk has now become synonymous with crypto, whether he meant to or not. For years, the Tesla and Space X CEO has spoken out on Twitter about Bitcoin and Dogecoin, even being cheekily labeled as the “CEO of Dogecoin”

Musk’s Tesla recently disclosed a substantial BTC buy, adding the green-focused company to the many who now hold the cryptocurrency as part of their corporate treasure strategy.

Relative newcomer to the Bitcoin space but heavy hitter, Anthony Scaramucci, says that Musk is the best come back to any claims regarding the ongoing energy FUD surrounding the crypto sector.

Scaramucci claims that “no living person has done more to protect the planet against climate change” than Musk, and the idea he’d support something so harmful to the environment is “absurd.”

Instead, he says that Musk sees the future in a different view, and understands that renewable energies will replace the current environmentally harmful mining processes keeping Bitcoin going, and will convert that renewable energy into monetary value with the potential to demonetize gold, art, equities, and just about everything else.

Featured image from Deposit Photos, Charts from TradingView.com