Lis 14

Bitcoin Price Hits 2018 Low Amid Cries of ‘Capitulation’

Bitcoin price finally broke through $6,000 support, falling as low as $5,500 with the price still volatile at press time.


Bitcoin Price Hits 2018 Low

As Bitcoin (BTC) price has flatlined as of late, one could say that it was a welcome sight to have some action and volume. The bad news, however, for those long BTC price was that same $6,000 support that held all year finally broke.

Bitcoin price 00 hit as low as $5,550 USD on Bitstamp amid ongoing volatility. This is the lowest price since October 2017 and a record low for 2018.

The drop-off may have been expected, however. Bitcoinist recently reported on the waning interest from traders amid record low futures volume and money velocity. And despite a string of recent positive news for Bitcoin and cryptocurrency, such as forthcoming on-ramps for Wall Street and increasing profits for businesses, the Bear market seems to be tightening its grip.

Bitcoin price today

Capitulation?

Meanwhile, notable industry figures such as cryptocurrency investor Barry Silbert called the record drop in price “capitulation.” Others also pointed out how the current record low RSI index for BTC/USD charts has historically been a signal for an upswing.

Admittedly, several factors that could potentially reverse the bearish momentum before the end of the year are still in place. However, all eyes will now be on BTC price 00 as the boring flatline period appears to (thankfully?) be over.

Are you long or short Bitcoin price? Where will the bottom be? Share your thoughts below!


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Lis 13

Stock Market Slump Could See Bitcoin Price ‘Make New All-Time High’

Cryptocurrency inventor, fund partner and advocate Max Keiser is predicting new all-time Bitcoin price highs as the stock market tumbled again this week.


Bitcoin to ‘New All-Time High’ as Stock Market Slumps

A drop in share prices for both Goldman Sachs and Apple has equated to an approximately 160-point loss for the Dow Jones November 12, leading Keiser to suggest the index could collapse to below the significant 10,000 barrier in future.

“10 (years) of cash transfusions from central banks – masking the globe’s economic death in 2008 – hasn’t worked,” he wrote on Twitter.

“Dow 10,000 here we come. (Bitcoin) will make new (all-time high).”

The Dow last saw 10,000 during the banking crisis a decade ago, having hovered around 25,000 for most of 2018.

Anticipation Of Crypto Awakening Grows

While Keiser like many other well-known commentators has long heralded a return to form for Bitcoin price 00, cryptocurrency markets have yet to signal their bear market is over this year.

As Bitcoinist has frequently reported in recent months, the anticipation of institutional investor money buoying sideways prices continues to run high. Major crypto assets themselves, however, continue to trend slowly downwards.

Big money remains faithful to the optimistic narrative on Bitcoin, however. Last week, billionaire investor Tim Draper took to the stage at Europe’s largest fintech conference Summit 2018 to double down on his prediction the largest cryptocurrency would hit $250,000 per unit by 2023 at the latest.

He was joined by Blockchain wallet CEO Peter Smith and Managing Capital co-founder Garry Tan. While both stopped short of endorsing the quarter-million figure, there appeared to be unanimous agreement that Bitcoin would be worth more in USD terms by this time next year.

“…My prediction for $250,000 by 2022 – maybe 2023 but in that range – is absolutely solid, but I’m not so sure how we’re going to get there,” Draper said.

What do you think about Max Keiser and Tim Draper’s predictions? Let us know in the comments below!


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Lis 09

Bitcoin to $250K by 2023 Prediction is ‘Absolutely Solid,’ Says Tim Draper

Serial cryptocurrency investor and billionaire Tim Draper has said his Bitcoin price prediction of $250,000 by 2022 is “absolutely solid.”


Draper: Destination Clear, Path Uncertain

Speaking during the giant Web Summit tech conference in Lisbon which ended November 8, Draper, who is well known for his optimistic outlook on Bitcoin, in particular, doubled down on his price forecast few others have dared rival.

“I have a pretty good sense of what’s going on four, five, six ten years from now because that’s my business – to meet with young entrepreneurs who are putting a future into my mind,” he told a panel which also featured Blockchain CEO Peter Smith and Managing Capital co-founder Garry Tan.

…My prediction for $250,000 by 2022 – maybe 2023 but in that range – is absolutely solid, but I’m not so sure how we’re going to get there[.]

Cryptocurrency became an increasingly focal topic at this year’s Summit, which with almost 70,000 attendees constitutes the largest such conference in Europe.

Smith’s Blockchain, announcing a partnership with payment network Stellar at the event, has begun giving away $125 million in the latter’s Lumen tokens in a bid to increase awareness and adoption of cryptoassets.

‘Just Go Do It’

While touching on different aspects of how the industry should grow in future, both Smith and Draper agreed on the need to continue placing financial sovereignty in users’ hands.

“Why we aren’t all… creating Bitcoin, putting together a wallet – just go do it so you get the feel for it because it’s so much better than what we have today,” Draper told the audience.

All three panelists, with varying degrees of reluctance, meanwhile agreed that BTC/USD 00 should trade higher this time next year, Smith additionally confirming he was still accumulating bitcoin.

Anticipation of an end to what Tan among many others referred to as the “crypto winter” continues to run high across the community, with markets yet to provide hints of an imminent end to bear market conditions.

Tan added he was uncertain whether the ‘winter’ would be over by the end of 2019.

What do you think about Tim Draper’s price prediction reiteration? Let us know in the comments below!


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Lis 07

BTC Price Won’t Hit $28K By 2020 – Vinny Lingham Bets Ronnie Moas

As Bitcoin continues to trade in a rather narrow range, industry experts Vinny Lingham and Ronnie Moas stand on both sides of a $20,000 charity bet that BTC price won’t hit $28,000 by the end of 2019.


“The Bigger The Party – The Bigger The Hangover”

Speaking at the stage of World Crypto Con held in Las Vegas, Vinny Lingham, co-founder and CEO of Civic 00, and Ronnie Moas, founder and director of Standpoint Research, expressed their thoughts on the current and future state of the cryptocurrency market and its forerunner Bitcoin.

Moas and Lingham shook on a $20,000 bet on the price of Bitcoin 00 by the end of 2019. Regardless of who wins, the money will be donated to the Free Ross charity – a group of supporters who work to provide legal assistance to Ross Ulbricht in the popular Silk Road case.

Moas holds that the demand for Bitcoin is only going to grow stronger while the supply will be reduced and, eventually, limited. Hence, he thinks that BTC price is going to go up to $28,000 in 2019 and all the way up to $50,000 by the end of 2020.

It’s also worth noting that prominent investor and owner of Galaxy Digital Mike Novogratz recently said that he thinks Bitcoin will reach $20,000 by the end of 2019.

Vinny Lingham, on the other hand, has a different view on the market. According to him, companies in the cryptocurrency space are not profitable and they have to sell their digital currencies in order to pay up for expenses.

He believes that there’s not enough money coming into the market and that the balance will eventually break down, causing the prices to go lower. He also noted that “the bigger the party – the bigger the hangover” and that we’ve had one “pretty big” party at the end of 2018.

BTC Price is Boring…For Now

Bitcoin’s current performance is far from exciting, however, with many months to go before the bet closes. While BTC 00 has marked slight gains throughout the last 24 hours, the past few months have seen record low volatility.

Despite the fact that the cryptocurrency is stagnating in its most boring range since the beginning of 2017, Bitcoinist reported yesterday that indicators suggest that buyers are accumulating and that there are plenty of evidence that we might have bottomed out.

What do you think of the bet between Lingham and Moas? Where do you see Bitcoin at the end of 2019? Don’t hesitate to let us know in the comments below!


Images courtesy of Shutterstock, Bitcoinist archives

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Říj 27

10 Years On: Five Things Needed for the Mass Adoption of Bitcoin

It’s been ten years since Satoshi Nakamoto published the Bitcoin White Paper and introduced cryptocurrencies to the world. His radical vision of a decentralized peer-to-peer electronic cash system was groundbreaking, as it sought to rebuild the structures that upheld our global financial institutions. A decade on, the cryptocurrencies market is now worth $209 billion globally, and there are more than a thousand separate tokens in circulation.


[Note: This is a guest op-ed article submitted by Samuel Leach, Founder of Yield Coin]

Despite this success, Nakamoto’s vision is yet to be fully realized. Although “cryptos” and associated phrases have entered the popular language, and awareness of them is at an all-time high, uptake has been restricted to a narrow subset of society.

Bloomberg estimates that around a thousand users own approximately 40 percent of all bitcoin currently in circulation and cryptos have failed to supplant fiat currency. Before we see the mass adoption of cryptocurrencies, there are a number of obstacles that first need to be overcome.

Regulation

While regulation is often treated as a pariah among many in the crypto community, if executed properly, it will bring beneficial change for all. Cryptocurrencies have only been in existence for a relatively short amount of time meaning many governments are still figuring out the best way to regulate them. The result of this has been a crypto market structured in a laissez-faire fashion. While it can be argued that this has fostered further innovation, it has undoubtedly led to several negative side effects.

At present, anyone could set-up a new cryptocurrency and raise significant capital without having to face repercussions if they fail to implement their plans. This has reduced overall confidence in the market, as it can be difficult to differentiate legitimate projects from nefarious ones. This is also preventing many institutional investors from entering the market, as the lack of regulatory guidelines will lead to compliance issues on their part.

Volatility

A daily price swing of 10-20 percent is not uncommon among most cryptos, making them exceptionally volatile in comparison to fiat currencies; in comparison, the pound lost 4 percent of its value against the dollar on the infamous Black Wednesday. Finding a way to temper this instability would go some way to certifying cryptos as legitimate currencies.

Bitcoin Price Volatility

At the moment, it would take a very brave consumer and equally brave merchant to conduct a transaction using cryptocurrencies. The inherent volatility of most cryptos means consumers run the risk of massively overpaying and similarly, the outlet risks the value of the crypto received being eroded.

Practicality, Usability & Accessibility

While cryptocurrencies have seen some mainstream usage among investors interested in day trading and investing, this uptake hasn’t been reflected by everyday consumers.  This is mostly due to crypto’s impracticality for day-to-day usage. Some of this is due to its price volatility but a more central factor is the lack of businesses who are willing to accept it as a form of payment. If individuals are unable to find a legitimate use case for their crypto, then its value as a form of electronic cash is zero. Further, the process of acquiring crypto itself is difficult, meaning uptake has been restricted to a tech-savvy subset of the overall population.

It should be noted, however, that while numerous solutions are in place allowing the spending of bitcoin via third-party services such as gift cardsBTMs, etc. — this often adds friction and introduces more middlemen into the experience.

BTCPay is a Better (and Cheaper) BitPay, Says Core Developer Nicolas Dorier cryptocurrencies

Security

In the beginning, cryptocurrency related crime was almost non-existent, but as the market has grown, it has attracted the attention of organized scammers and hackers. Earlier this year, criminals stole $530 million worth of crypto from the Coincheck exchange, and there have been many other examples of large-scale thefts.

With ‘traditional’ financial systems, when a payment is made, third parties ensure that the transaction goes through and if anything does go wrong, they are liable for recovering the funds. Similarly, if your credit or debit card information is stolen, then you aren’t responsible for any transactions made. With cryptos, however, it is the user’s responsibility to ensure that all the data associated with a transaction is correct. If a user’s private key is stolen, then crypto can be stolen with a low chance of recovery.

Understanding

Research has found that 38 percent of the British population do not ‘understand’ cryptocurrency. With the commonly held misconception that it is a tool for criminals to launder money being the most cited reason for mistrusting it. While those involved in the community understand the revolutionary possibilities of cryptos, the wider public still needs further education on the potential benefits.

For those not familiar with trading concepts, the notional value and artificial scarcity that underpins crypto may be hard to grasp.  Further, the existing way in which money has been exchanged for goods has been long established, and cryptocurrencies will require people to think about transactions in an entirely new way.

Without a doubt, the introduction of cryptos has been revolutionary. However, whether we are within the midst of a complete reconstitution of the financial system remains to be seen. If the engineers and developers involved with cryptos can find a way to deal with the intense volatility and lack of widespread understanding around cryptos, then their benefits will be able to be enjoyed by all.

Do you agree with these barriers to adoption? Are there more? Share your thoughts below!


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Říj 24

Bitcoin Price Has Maximum $22K Potential By End Of 2018, Says Tom Lee

Bitcoin could end 2018 at $22,000, Fundstrat Global Investors analyst Tom Lee repeated in new predictions about the end of the cryptocurrency bear market October 19.


Lee: 200-day MA ‘Very Important’

Speaking during an interview with social media blog Crypto Tips, Lee, who is known for his bullish stance on Bitcoin in particular, highlighted the 200-day moving average price trend as a key factor in determining its future performance.

“When Bitcoin’s below its 200-day, it only goes up 50 percent of the time in the next sixth months, but when it’s above its 200-day, it’s up 80 percent of the time,” he said referring to analysis produced by Fundstrat last week.

“The 200-day and the trend that’s implied by that is obviously very important.

Ethereum ‘Capitulated’?

Far from a continuation of this year’s price downturn, Lee added he thinks it is “more likely” that Bitcoin 00 would put in an unexpected climb.

That hypothesis runs counter to assumptions shared by many other analysts within the cryptocurrency industry, who have endorsed an idea BTC/USD must first ‘bottom’ as low as $3000 before finally challenging its all-time highs.

For Lee, $6000 is the “floor.”

“Where can the surprise take place? I know a lot of people think Bitcoin’s price will collapse to $3000; I think what’s more probable a surprise is that we have a very explosive increase in price,” he continued.

For Ethereum (ETH) 00 meanwhile, Lee also saw support returning to markets. The largest altcoin by market cap had fallen more precipitously than Bitcoin, at one point trading as low as $170 in recent months, its worst performance since May 2017.

“…Ethereum is already trading like it’s capitulated,” he said.

In 2018, a combination of factors including the EOS ICO, ICOs in general, BitMEX’s ETH futures and media “hitjobs” had created a “negative” story around the asset.

What do you think about Tom Lee’s predictions? Let us know in the comments below!


Images courtesy of Shutterstock, Bitcoinist archives

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Říj 02

Fundstrat Says ‘Bullish Trend’ to Develop in Coming Months

The bullish trend isn’t going to be for at least a few more months, according to a technical expert from Fundstrat Global Advisors. He holds that time is needed for the market to recover the technical damage developed through the year.


Bulls Will Have to Wait

At the time of writing this, Bitcoin (BTC) 00 marks a slight decrease of less than one percent for the last 24 hours. The market’s leader also managed to stand its ground for the last week as.

However, having peaked at around $7,400 earlier in September, the cryptocurrency trades about 13 percent below its monthly high.

According to Rob Sluymer, though, an analyst at Fundstrat Global Advisors, bulls will have to wait for a while. In a recent note to clients, the technical expert outlined:

Given the technical damage that has developed in 2018, we expect most cryptocurrencies will likely require months of repair before a new bullish trend can develop. […] This is consistent with post-bear-market behavior that has developed in other asset classes following bear markets.

bull

A Bit More Positive

Earlier this month, the Head Analyst and Managing Partner at Fundstrat Global Advisors, Tom Lee, expressed his positive sentiment on the price of Bitcoin, based on CBOE Global Markets’ intention to launch Ethereum future contracts. Lee said:

Since December of this year, if one was bearish on any aspect of crypto but did not want to own the underlying, they could short BTC. They can now short ETH, means the net short on BTC in futures would fall.

Ethereum (ETH) 00 marks a slight weekly decrease of about 3 percent. In the last 30 days, however, the world’s second largest cryptocurrency is down with around 23 percent.

What do you think of Rob Sluymer’s position on the current state of the cryptocurrency market? Don’t hesitate to let us know in the comments below!


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Zář 30

Bacteria Bio May Help Account for Bitcoin Movements

Some traders are afraid of Bitcoin price predictions and technical analyses — and for a good reason. Over time, Bitcoin has proven to be volatile if given the right conditions. One man claims he can predict this coin’s flux, and uses bacteria to illustrate the process.


Bitcoin Predictions, In General

While you can’t really think this in terms of black or white, it seems obvious that only a certain category of crypto enthusiasts venture to accurately forecast the price of Bitcoin (BTC) 00 and other cryptocurrencies. Besides, there’s no “better” or “worse” way of doing it: experience and vast market knowledge are valuable, as are cold stats. What matters more is the person who does it and the logic underpinning their decision.

Despite all that hassle, not everyone relies on predictions anyway — in fact, predictions often bring the author criticism. That’s why talking numbers is a safer bet: no one can blame it on the numbers. Yet, here’s an original one: a social scientist describing Bitcoin’s price as a logarithmic parable based on patterns seen in bio-science.

goorha

Bitcoin’s Price Based on a Biological Pattern

After all, it’s not impossible. Traders are biological beings, too. Their decisions and the thinking process behind them are a biochemical reaction in the brain. Could maths just explain everything, in the end? Well, they say it’s the key — and it could be here as well.

As reported by Money Morning, Prateek Goorha’s formula to predict Bitcoin’s price is not that far-fetched. His inspiration, however, is quite unconventional. Goorha thinks that the Bitcoin chart resembles the reproductive pattern observed in bacteria: Lag — log — station — death.

The first phase sees the bacteria adapt to the conditions of a given environment. The second is characterized by exponential growth: the bacteria divides and clones itself until it reaches a boundary where the environment can’t sustain any more individuals. Following this stage, the already existing bacteria feed on the existing resources until depletion.

Of course, when there’s nothing left to feed on the bacteria dies — but Goorha didn’t mention this phase, presumably finding it irrelevant to cryptocurrency. The same cycle is repeated by most living organisms and some scientists even predict that human lives propagate following the same pattern.

What Does This Have To Do With Bitcoin’s Price?

Well, scientists like maths, and so do traders. They should do, at least. They translated the pattern above into a mathematical formula. Goorha suggests that the price of Bitcoin followed exactly the same pattern as bacteria multiplication so far and is sure that its value will continue doing so in the future.

According to Goorha’s prediction, Bitcoin will see $20,000 again without a doubt. In fact, he predicts that a long-awaited bull-run is just around the corner. The highs of this new rush will reach as far as $50,000, and future races could bring Bitcoin as high as $250,000. Distinct from typical technical analyses, Goorha used a different set of parameters. If you look on the left side of his chart, you’ll see what he meant by “exponential” growth.

To what extent do you think this parable can account for the price movements of Bitcoin? Let us know in a comment below!


Image courtesy of Money Morning, Shutterstock, Twitter/@goorha.

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Zář 28

Bitcoin Price Analysis: Is Bitcoin Bottoming out?

Following a steady day of price action around $6,500, Bitcoin price exploded to $6,750.  With such a fast move to the upside, we take a look at what’s happening price action going into the weekend. 


1-hour Chart 

After last week’s volatile move to the upside from $6,100, Bitcoin 00 made a higher low at $6,330 early in the week and the Bulls had been attacking $6500 ever since.  The Bears eventually gave up yesterday and a fast move to around $6,800 followed after pressure could be seen in the price action.

After a blisteringly fast move to resistance at $6,800, coupled with emerging bearish divergence [where price makes higher highs yet key indicators made lower highs], Bitcoin needed to take pit stop at current prices before advancing further.  Bulls will be looking to defend $6,600 over the weekend and keep momentum as we move towards the weekly and monthly candle closes.

Daily Chart

As the Bulls look to break $6,800 and keep their heads above critical support at $6,000, the bigger question remains as to whether there are signs that the bottom is in in this bear market.

Price action continues its long consolidation in the large quasi-falling wedge.  The bulls not only need to maintain the lows found last week at $6,100 but must find higher highs above $7,500, which would represent the first higher high in price action on a meaningful timeframe since December 2017

With price volatility reaching lows for the year, The CMF and RSI are showing positive momentum and the Mac-D remaining bullish, there are signs that we may be coming to the end of this consolidation in Q4 of 2018.

Is Bitcoin Bottoming Out?

On Wednesday, well-respected trader Peter Brandt tweeted that he had identified evidence of a rare pattern in price action known as a Compound Fulcrum which can best be described as an H&S top pattern that serves as a bottom.

A break above $7,500 would confirm this technical pattern and would provide confluence with the other indicators suggesting that Bitcoin is close to bottoming out.

What Happens Next?

Failure to break above $6,800 and attack $7,500 will mean that the bears are very much still in control in this bear market. Despite the positive underlying signs, many commentators remain bearish and see present price action as being another dead cat bounce before a large move to the downside.

With Q4 being traditionally an explosive quarter or Bitcoin 00 and with price action implying selling pressure is running out of steam, it seems that 2018 will not be an exception to the rule and is shaping up to be a volatile few months.

 [Disclaimer: The views expressed in this article are not intended as investment advice. Market data is provided by  BITFINEX. The charts for analysis are provided by TradingView.]

Whether it will be a bullish or bearish Q4 end of 2018? Share your predictions below?


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Zář 16

Bitcoin Price Analysis: Are Oversold Bounces Leading the Market Higher?

Bitcoin is making a slow and steady recovery toward $7,000. Has bearish market sentiment alleviated? Or, are the current gains simply the result of a market-wide oversold bounce?


On Thursday, BTC broke through the $6,450 resistance and proceeded to reach a weekly high just shy of $6,600. This was prior to a  brief pullback to $6,400. The weekly chart shows Bitcoin (BTC) 00 about to set a higher low. After last week’s break from this pattern, a few more weeks of higher lows will be required to determine if a trend change is in order.

4-Hour Chart

Since pulling back from the weekly high ($6,597), BTC has been continuously rejected near the 200-MA ($6,612). Up til this morning, a pattern of lower highs continued as the RSI and Stoch began to descend from overbought territory.

Since pulling back from the weekly high ($6,597), BTC has been continuously rejected near the 200-MA ($6,612). Up until this morning, a pattern of lower highs continued as the RSI and Stoch began to descend from overbought territory.

These frequent rejections at $6,530 are a result of a lack of bull volume on each attempt and if BTC were to fall below $6,414 (20-MA) and $6,358 (50-MA and most recent low) then a revisit to $6,270 could occur.

BTC needs to overcome yesterday’s high and proceed to take out the 200-MA, which is also aligned with the 38.2% Fib retracement level at $6,623.

A more convincing move would be for BTC to gain to the midway point ($6,780) of last week’s drop from $7,400 as this would place BTC above the 100-MA and the 38.2% Fib retracement level.

Daily Chart

BTC did manage to close above the 10-day MA and while the overhead moving averages are still angled downward they have begun to flatten.

BTC did manage to close above the 10-day MA and while the overhead moving averages are still angled downward they have begun to flatten. The RSI is climbing mid-channel through a neutral zone and the Stoch is lifting from near oversold territory.

Yesterday’s doji candle shows a degree of indecision. Fortunately BTC went on to post a higher low not shown on chart.

1-Hour Chart

The 1-hour chart shows BTC repeatedly pulling back from $6,570 and $6,550 and each pullback has dropped BTC price from the upper arm to the mid-channel.

The 1-hour chart shows BTC repeatedly pulling back from $6,570 and $6,550. Each pullback has dropped BTC price from the upper arm to the mid-channel. Then similarly below the 10-MA of the Bollinger band (set at 10, 1, 9).

The 20 and 50-MA should serve as short-term supports. However, the move into the lower BB arm and the sharply dropping Stoch and RSI mean BTC could pullback slightly as it continues to consolidate throughout the day.

Projections

BTC is well situated for short-term gains but remains biased toward bears given the lack of follow-through from bulls after frequent rejections and positioning of the moving averages on the daily and 4-hour chart.

BTC 00 needs to overcome the 200-MA ($6,612) and there is resistance at $6,710 where the 100-MA is situated.

[Disclaimer: The views expressed in this article are not intended as investment advice. Market data is provided by BITFINEX. The charts for analysis are provided by TradingView.]

Where do you think Bitcoin price will go this weekend? Let us know in the comments below! 


Images courtesy of Shutterstock, Tradingview.com

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