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Given the clear correlation between Bitcoin’s price action and traditional markets, traders like Cointelegraph contributor Micheal van de Poppe expect Bitcoin to hover in the $7,600 to $7,300 zone for the foreseeable future until global markets show some sustained improvement.
In the event that Bitcoin fails to hold $7,300, van de Poppe believes that traders will shift their focus back to $6,800 and $6,400.
- The price of the cryptocurrency has bounced cleanly off the key $7,700 support level, printing a number of wicks under that level, suggesting there remains buying interest.
- BTC hit a volume profile gap, bouncing off it.
- The “Willy” indicator is oversold, which last took place near the $6,400 bottom in December, then once before prior to the 40% “China pump” seen in October.
- Bitcoin is printing a potential divergence with the one-day Moving Average Convergence Divergence (MACD).
Bitcoin price is at the forefront of the declines in the crypto market. BTC/USD is down 3.51% on Thursday. The Asian session has been characterized by increased selling activities leading to a break down from $7,938 (opening value) to $7,572 (intraday low). A shallow recovery is pushing the price towards $7,700 but BTC/USD is dancing at $7,667 at the time of writing.
From a historical perspective, the halving has always been accompanied by positive market trends for Bitcoin. In fact, on November 28th, 2012, also known as ‘halving day 2012’, Bitcoin’s block reward halved from 50 BTC per day to 25 BTC per day – instantiating Bitcoin’s day-one claim on scarcity in the process and pumping the price as a consequence. As can be seen below, this process occurs every 210,000 blocks.
- Helping You Invest in Bitcoin
- 1. Telegram
- 2. TradingView
- 3. Google Authenticator
- 4. Ledger or Trezor
- 5. Twitter
With global markets spiraling across the board from oil and stocks to crypto you may not want to invest in bitcoin right now. That said, if you believe in its long-term potential, pro-investors will always tell you to buy the dip.
Indeed, after President Trump’s address, in which he revealed that he would be suspending all travel from Europe to the U.S. for a month, the futures for the S&P 500 (ES) and the Dow Jones (YM) started to fall. At the crash’s worse, they had dropped almost 5% since the daily close, nearing limit down for the session.
The fears of the coronavirus were rapidly exacerbated by news that the NBA will be suspending its season for the foreseeable future due to a player catching the virus, along with Tom Hanks announcing that he and his wife have been diagnosed with COVID-19 while traveling in Australia.
Stock market futures and the bitcoin price tumbled on the news. It will directly impact financial markets and the economy in two ways. For one, it will disrupt a lot of business, trade, and travel between the United States and Europe.
The economic loss from this unfortunate measure to prevent the spread of novel coronavirus remains to be seen. But it will no doubt have a marked impact on many companies’ bottom line. Airlines, in particular, will feel an immediate effect.
- Ethereum is struggling to recover above the $195 and $200 resistance levels against the US Dollar.
- The price is likely to dive further below the $180 support level in the near term.
- There is a key bearish trend line forming with resistance near $192 on the hourly chart of ETH/USD (data feed via Kraken).
- Bitcoin price broke the $7,700 support and it is declining towards the key $7,500 support.
According to data provider Skew markets, the Bitcoin volume along with Open Interest [OI] was fairly low. The volume on 6 March was noted to be $15 million, whereas the OI was just around $8.6 million. However, when the market opened on 9 March, rising volume was recorded, but with decreased OI. The volume reported was $19.7 million, but the OI had fallen to $7.2 million.
- Initial reports had indicated Ethereum whales were accumulating ETH.
- However, due to the stock and crypto market turmoil earlier this week in response to the Coronavirus pandemic, the same whales dumped their bags.
- With ETH slightly below $200, only time and positive news about the Coronavirus will help break this resistance level.
The derivatives exchange, which facilitates the trading of contracts tied to oil, agriculture products and U.S. stocks, said it made the decision as a precaution due to the spread of coronavirus. In a statement the exchange group said:
“No coronavirus cases have been reported on the trading floor or in the Chicago Board of Trade building. The reopening of the trading floor will be evaluated as more medical guidance on the coronavirus becomes available.”
U.S. digital currency lending firm BlockFi has integrated support for fiat currencies. With this, it will allow users to purchase digital currencies and immediately start earning interest on it. The service is available to both domestic and international users.
The introduction of the wire transfers is the company’s first on-ramp channel for cash into its investment platform. It will allow users to purchase as little as $10 worth of digital currencies and start earning interest of up to 8.6% annual percentage yield in its BlockFi Interest Account.
Binance USD, a U.S. dollar-backed stablecoin, has surpassed $100 million in market capitalization, chipping away at a market still dominated by Tether’s TUSD.
Also known as BUSD, the token is traded almost exclusively on the Binance exchange and its market cap – which roughly corresponds to the total value of dollars deposited with its issuer, Paxos – is currently at $115 million. Binance USD runs on top of the Ethereum blockchain.
Despite Bitcoin sustaining severe losses, its dominance in the crypto-market surged to 64.4%. After hinting at a bullish revival, many altcoins soon dropped, posting significant losses over the last 24-hours. At press time, the collective market cap had fallen to $221 billion.