Connect with us

Bitcoin

Long Term Bitcoin Analysis

Published

on

Bitcoin (BTC) extended upside movement against the US Dollar (USD) on Thursday to a weekly high of 1229, rallying the price of BTC/USD to more than 1200, the psychological number, as Japan legalized the cryptocurrency as online payment method while Russia is also mulling over to authorize the cryptocurrency. The technical bias however remains bearish in near term.

Russia Intercedes into the Crypto World

Russia is mulling over to regulate the digital currency. Russian Deputy Finance Minister Alexey Moiseev told Bloomberg in an interview this week that the authorities hope to recognize bitcoin and other cryptocurrencies as a legal financial instrument in 2018 in a bid to tackle money laundering.

“The state needs to know who at every moment of time stands on both sides of the financial chain,” Moiseev told Bloomberg.

If there’s a transaction, the people who facilitate it should understand from whom they bought and to whom they were selling, just like with bank operations.”

Increasing state regulations around bitcoin could make the cryptocurrency an attractive investment for investors who previously remained cautious due to the high risk and price swings.

Technical Analysis

As of this writing, BTC/USD is being traded around 1170. A 4-Hourly support may be seen around 1135. A major support however still holds around 1060 which is 50% Fibonacci level as demonstrated in the given below 4-hour chart with green color.

EMA 200 is pushing upward on a short-term bias after a test at 1135. Trendline in red color is still major and effective as sellers gain momentum. A break and 4-Hourly closing below the 1135 support shall incite renewed selling pressure, validating a move towards 1060, the 50% fibonacci retracement and then a retest of the trendline around 950.

On the upside, bitcoin is expected to face a hurdle near 1230, a key horizontal resistance area ahead of 1300, the psychological number which is also the high of April 2017. The technical bias shall remain bullish as long as the 1135 support area is intact as mentioned before.

What to expect in Long-Term?

In long-term, a pull back to retest the trendline around 950 is very much expected. RSI (25) provides an extra conformation as it is heading lower sharply.

How to Trade BTC/USD in near future?

Selling BTC/USD below the 1135 support level can be a good strategy with stops being placed above 1180.

Similarly, buying BTC/USD above 1200 level can be a good idea with stops being placed right below the 1135 support.

Important: Never invest (trade with) money you can't afford to comfortably lose. Always do your own research and due diligence before placing a trade. Read our Terms & Conditions here. Trade recommendations and analysis are written by our analysts which might have different opinions. Read my 6 Golden Steps to Financial Freedom here. Best regards, Jonas Borchgrevink.

Rate this post:

Important for improving the service. Please add a comment in the comment field below explaining what you rated and why you gave it that rate. Failed Trade Recommendations should not be rated as that is considered a failure either way.
0 votes, average: 0.00 out of 50 votes, average: 0.00 out of 50 votes, average: 0.00 out of 50 votes, average: 0.00 out of 50 votes, average: 0.00 out of 5 (0 votes, average: 0.00 out of 5)
You need to be a registered member to rate this.
Loading...





Feedback or Requests?

1 Comment

1 Comment

  1. Parentesi

    April 16, 2017 at 1:46 am

    question: Selling BTC/USD .. does that mean selling Selling USD for Bitcoins? Reads the other way for me, but then you would just lose investment?

You must be logged in to post a comment Login

Leave a Reply

Analysis

Crypto Update: Coins Extend Losses as Bulls Fail to Show Up

Published

on

While the major cryptocurrencies haven’t been able to gain ground following Monday’s Tether-induced turmoil, the market has been stable in the past few days, and the top coins managed to hold up above their short-term support levels.

After yesterday’s slightly bearish session, overnight, Bitcoin, Ethereum, and Ripple all drifted the narrow ranges that developed during the week, and most of the smaller coins also turned lower, even as volatility remains relatively low.

The total value of the market dropped to $207 billion, but it’s still well above the bear market low, and the segment avoided a major technical breakdown that was looming after last week’s selloff. That said, the long-term picture is still bearish in the case of most of the majors, and our trend model is also on sell signals across the board from a short-term perspective.

On another negative note, Ripple and Stellar also joined the decline yesterday after showing strength this week, and the segment is still missing a bullish leadership.


BTC/USD, 4-Hour Chart Analysis

While Bitcoin dropped below the very narrow post-spike trading range, it continues to trade above the primary support level near $6275, and well above the lows from last week. We maintain our short-term sell signal on the coin, as it failed to recapture the $6500 level, and although the long-term signal is still neutral for BTC traders still shouldn’t enter positions here.

Further resistance levels are ahead near $6750 and $7000, while above the key long-term support zone near $5850, a weaker level is also found near $6000 and the next major zone is between $5000 and $5100.

Ethereum Dips Below $200 as Ripple Tests Long-Term Zone Again

XRP/USD, 4-Hour Chart Analysis

As Ripple’s relative strength faded, the third largest coin quickly gave back most of Monday’s gains, and now it trades right at the key long-term support/resistance zone between $0.42 and $0.46 zone. The lack of bullish follow-through is a negative sign for the whole segment and it gave another confirmation of the still apparent selling pressure on the majors.

With that in mind, traders still shouldn’t enter positions here, even as XRP remains above the recent triangle consolidation pattern, with strong resistance ahead at $0.51, $0.54, $0.57, and with further resistance zones found near $0.375 and $0.35.

 

ETH/USD, 4-Hour Chart Analysis

Ethereum showed no sign of relative strength this week, and the coin is back below the $200, although the decline also lacked momentum so far. The second largest digital currency is clearly above the next strong support level at $180, with further levels just below that near $170 and $160.

ETH remains on sell signals on both time-frames given the dominant broader declining trend and the short-term weakness, and odds still favor the test of the bear market low in the coming weeks, with strong resistance levels still ahead at $235 and $260.

IOTA/USD, 4-Hour Chart Analysis

Most of the smaller altcoins are also under clear selling pressure, with the likes of Monero, IOTA, EOS, and NEO all drifting lower in the past couple of days. Litecoin also followed the broader market lower so far today, and the coin is already testing the key $51 level, as we expected after showing weakness earlier on this week. A move below primary support would warn of a test of the bear market low near $47 with the next major zone found at $44.

LTC/USD, 4-Hour Chart Analysis

With that in mind, traders and investors should stay away from the coin until at least s short-term trend change, with strong resistance levels ahead near $56, $59, and $64.

Featured image from Shutterstock

Disclaimer:  The analyst owns cryptocurrencies. He holds investment positions in the coins, but doesn’t engage in short-term or day-trading, nor does he hold short positions on any of the coins.

Important: Never invest (trade with) money you can't afford to comfortably lose. Always do your own research and due diligence before placing a trade. Read our Terms & Conditions here. Trade recommendations and analysis are written by our analysts which might have different opinions. Read my 6 Golden Steps to Financial Freedom here. Best regards, Jonas Borchgrevink.

Rate this post:

Important for improving the service. Please add a comment in the comment field below explaining what you rated and why you gave it that rate. Failed Trade Recommendations should not be rated as that is considered a failure either way.
0 votes, average: 0.00 out of 50 votes, average: 0.00 out of 50 votes, average: 0.00 out of 50 votes, average: 0.00 out of 50 votes, average: 0.00 out of 5 (0 votes, average: 0.00 out of 5)
You need to be a registered member to rate this.
Loading...

4.6 stars on average, based on 379 rated postsTrader and financial analyst, with 10 years of experience in the field. An expert in technical analysis and risk management, but also an avid practitioner of value investment and passive strategies, with a passion towards anything that is connected to the market.




Feedback or Requests?

Continue Reading

Bitcoin

Bitcoin Price Resumes Holding Pattern as Futures Trading Soars

Published

on

The bitcoin price remained locked in a sideways pattern on Thursday, as virtual exchange volumes continued to retreat following a sharp early-week spike. However, a new report from the Chicago Mercantile Exchange (CME) confirmed a sharp increase in trading in bitcoin futures contracts, a sign that institutional investors were flocking to the asset.

BTC/USD Update

Bitcoin’s price is currently averaging $6,543 on major exchanges, according to CoinMarketCap. The leading digital currency continues to trade at a premium on Bitfinex, where prices hover around $6,720. In both cases, BTC is virtually unchanged compared with 24 hours ago.

The digital currency market has experienced very little change over the past three days as trade volumes continued to dry up following an unexpected upsurge on Monday. Bitcoin’s trade volumes are back down below $4 billion,

BTC is up nearly 4% this week, having adding more than $4 billion to its market cap. The digital currency is currently valued at $113.4 billion for a 53.7% share of the overall market.

The crypto market cap was valued at $211.1 billion on Thursday. Trading volumes across all major assets averaged $11.6 billion compared with 24 hours ago.

Bitcoin Futures Volumes on the Rise

Institutional interest in bitcoin appears to be on the rise, according to the latest trading data published by CME Group. Trading in CME bitcoin futures contracts jumped 41% in the third quarter, with the total number of open contracts increasing 19%.

Bitcoin futures contracts have recorded an average daily trade volume of 2,582 this year, with open interest reaching 2,696 contracts. Volumes appear to have spiked throughout the month of September, reaching a high of 5,881 contracts on Sept. 21.

The following chart, courtesy of CME, provides an overview of bitcoin futures volume based on notional value traded and open interest.

Bitcoin futures appear to have had a stabilizing effect on the market, a contrary view to the one proposed by the San Francisco Federal Reserve, which argued that securitization induced more volatility. Volatility in bitcoin’s spot price has been declining all year long, having recently touched new 17-month lows.

Over the past 30 days, bitcoin’s price volatility has averaged less than 2%, according to bitvol.info. The website’s volatility tracker reads 2.91% over the last 120 days and 3.82% over a 252-day window.

The CME futures contract expires at the end of the month. The contract offered by CBOE closes toward the middle of the month.

Disclaimer: The author owns bitcoin, Ethereum and other cryptocurrencies. He holds investment positions in the coins, but does not engage in short-term or day-trading.

Featured image courtesy of Shutterstock.

Important: Never invest (trade with) money you can't afford to comfortably lose. Always do your own research and due diligence before placing a trade. Read our Terms & Conditions here. Trade recommendations and analysis are written by our analysts which might have different opinions. Read my 6 Golden Steps to Financial Freedom here. Best regards, Jonas Borchgrevink.

Rate this post:

Important for improving the service. Please add a comment in the comment field below explaining what you rated and why you gave it that rate. Failed Trade Recommendations should not be rated as that is considered a failure either way.
0 votes, average: 0.00 out of 50 votes, average: 0.00 out of 50 votes, average: 0.00 out of 50 votes, average: 0.00 out of 50 votes, average: 0.00 out of 5 (0 votes, average: 0.00 out of 5)
You need to be a registered member to rate this.
Loading...

4.6 stars on average, based on 647 rated postsSam Bourgi is Chief Editor to Hacked.com, where he specializes in cryptocurrency, economics and the broader financial markets. Sam has nearly eight years of progressive experience as an analyst, writer and financial market commentator where he has contributed to the world's foremost newscasts.




Feedback or Requests?

Continue Reading

Analysis

Crypto Update: Coins Edge Lower in Quiet Trading

Published

on

The cryptocurrency segment continued to trade without momentum in the past 24 hours, as although some of the small-cap coins experienced heavy trading the top currencies are virtually unchanged. The technical setup is also little changed, with only Stellar getting closer making progress since the Monday market-wide spike. Ripple, which was also among the more active coins couldn’t maintain its momentum, while Bitcoin and Ethereum got stuck in very narrow short-term ranges.


BTC/USD, 4-Hour Chart Analysis

Bitcoin continues to trade between the $6275 and $6500 levels, as another very narrow trading range developed following the Tether-indices surge. The most valuable coin is still well below the previously dominant broad triangle pattern after last week’s breakdown, and the short-term sell signal remains in place in our trend model.

While the long-term setup is neutral, traders should still not enter positions here, with further resistance levels ahead at $6750 near $7000, and with support levels also found near $6000, $5850, and between $5000 and $5100.

Stellar/USDT, 4-Hour Chart Analysis

Stellar drifted above the key support zone that surrounds the $0.24 price level which also marked the top of the Monday rally. Should the coin hold above that level, a new short-term uptrend would be established even as the broader declining trendline is just ahead, and traders could enter small positions in anticipation of a break-out. That said, given the bearish segment-wide pressures, these setups are still to be treated cautiously, as no leadership has been established.

Top Coins in Deadlock as Long-Term Setup Still Bearish

XRP/USD, 4-Hour Chart Analysis

Ripple is still holding on above the key $0.42-$0.46 zone, but it still failed to show meaningful follow-through after the move out of the triangle consolidation pattern, and a new short-term uptrend is still not confirmed, so traders should still not enter positions here.  XRP faces strong resistance levels near $0.51, $0.54, and $0.57, while further support levels are found at $0.375 and near $0.35.

ETH/USD, 4-Hour Chart Analysis

Ethereum is trading in a similarly narrow trading range as Bitcoin, also on a short-term sell signal, with the focus being on the $200 support level. Ethereum’s long-term outlook is still clearly negative, with the broader declining trend being intact, and a move towards the bear market low remains likely in the coming weeks.

Traders and investors should stay away from the coin, despite Monday’ spike, as we expect the downtrend to resume soon. Strong resistance levels ahead at $235 and $260, while support is found at $180, $170, and $160.

LTC/USD, 4-Hour Chart Analysis

Litecoin also failed to make progress since Monday and a move below the $51 support level is very likely in the coming week. Below that support is found near $51 and the bear market low at $47, while the major zone of interest is near the $44 price level.

The weakness of LTC is a bearish sign for the whole segment, and traders should still not enter positions here, with strong resistance levels ahead near $56, $59, and $64.

Featured image from Shutterstock

Disclaimer:  The analyst owns cryptocurrencies. He holds investment positions in the coins, but doesn’t engage in short-term or day-trading, nor does he hold short positions on any of the coins.

Important: Never invest (trade with) money you can't afford to comfortably lose. Always do your own research and due diligence before placing a trade. Read our Terms & Conditions here. Trade recommendations and analysis are written by our analysts which might have different opinions. Read my 6 Golden Steps to Financial Freedom here. Best regards, Jonas Borchgrevink.

Rate this post:

Important for improving the service. Please add a comment in the comment field below explaining what you rated and why you gave it that rate. Failed Trade Recommendations should not be rated as that is considered a failure either way.
1 vote, average: 5.00 out of 51 vote, average: 5.00 out of 51 vote, average: 5.00 out of 51 vote, average: 5.00 out of 51 vote, average: 5.00 out of 5 (1 votes, average: 5.00 out of 5)
You need to be a registered member to rate this.
Loading...

4.6 stars on average, based on 379 rated postsTrader and financial analyst, with 10 years of experience in the field. An expert in technical analysis and risk management, but also an avid practitioner of value investment and passive strategies, with a passion towards anything that is connected to the market.




Feedback or Requests?

Continue Reading

Recent Comments

Recent Posts

A part of CCN

Hacked.com is Neutral and Unbiased

Hacked.com and its team members have pledged to reject any form of advertisement or sponsorships from 3rd parties. We will always be neutral and we strive towards a fully unbiased view on all topics. Whenever an author has a conflicting interest, that should be clearly stated in the post itself with a disclaimer. If you suspect that one of our team members are biased, please notify me immediately at jonas.borchgrevink(at)hacked.com.

Trending