Bitcoin

Will The Bulls Maintain The Positive Bitcoin Sentiment Around $5,000?

Following our previous Bitcoin price analysis, we can see that Bitcoin had broken up the $5100 resistance and quickly regained position to our mentioned target at $5300 area.

After completing the above target, we saw Bitcoin rapidly dropping 10%, which is very reasonable following the $1100 bullish move. As of now, Bitcoin is struggling with the tough resistance of the $5000 level.

Total Market Cap: $174.45 Billion

Bitcoin Market Cap: $87.7 Billion

BTC Dominance: 50.3%

Looking at the 1-day & 4-hour charts

– Support/Resistance:
From above, Bitcoin is still facing the $5000 area. The bears had set there high supply levels and it seems that the task won’t be so easy. As mentioned in our previous analysis, the next significant resistance area of $5300, further resistance (weak) lies at $5500 before reaching the 2018 legendary support turned resistance line at $5700.
From below, there is strong support around $4700 (38.2% Fibonacci retracement level) and even stronger support around $4600, where lies the 200-days moving average line of the daily chart (marked in light green). It’s likely to see the strong daily MA-200 getting retested again – Whether it will be soon, around $4600-4700 or in the next couple of weeks. Below lies resistance turned support levels of $4500 (61.8% Fibonacci retracement level) and $4400.
– Daily chart’s RSI: Stochastic RSI oscillator is stretched out and could be crossing down soon in the overbought area. This could signal on a coming up correction to retest prior support levels.
– The daily trading volume: The recent Bitcoin FOMO was followed by massive amount of volume during Tuesday and Wednesday. Yesterday’s sellers’ volume candle was a lot smaller, which is how a bull market needs to look like (high green candles vs. short red candles). Monitoring the volume in the next days will be interesting.
– BitFinex open short positions: There was not much of a change in this field, as the open short positions stand around 20.8K of BTC open positions.

BTC/USD BitStamp 4-Hour Chart

btc_apr5_4h-min

BTC/USD BitStamp 1-Day Chart

btc_apr5_d-min

The post Bitcoin Price Analysis April.5: Can The Bulls Maintain The Positive Sentiment Around $5000? appeared first on CryptoPotato.

Source: Crypto Potato

Bitcoin

IS BREXIT CHAOS LIFTING BITCOIN OUT OF THE BEAR MARKET?

One of the first suggestions to hit crypto-Twitter can be blamed on the breakout’s unfortunate timing. Yep, Bloomberg and The Telegraph even went as far as reporting that the whole thing could be down to an April Fools joke. The joke in question? A spoof article on Finance Magnates, claiming that the SEC had approved two Bitcoin ETFs in an emergency Sunday night meeting.

There are two problems with the theory: Firstly, Finance Magnates. Fair play to FM for the gag (it was certainly one of the most creative in the crypto-space this year). However, the idea that the whole crypto-verse read that article, and despite nobody else reporting the story, decided to buy, buy, buy… Nah.

Secondly, it didn’t actually happen on April 1st; or at least not before midday, wherever in the world you are. By that time the article had been updated to include very obvious [April Fools] spoilers.

BECAUSE… BREXIT?

Now, we’re being led to believe that Brexit might be to blame… bless the Dutch. The idea behind this theory is that, due to the uncertainty over Brexit, Brits are following the example of Venezuela and going all in on Bitcoin.

Is it Plausible…

Continue reading at BITCOINIST.com

3 Reasons Bitcoin’s Price Suddenly Surged Back to $5,200

The crypto market sprang back to life with bitcoin’s surge to nearly 5-month highs yesterday. But why?

To those who have been paying attention to the charts, it shouldn’t come as a surprise. The leading cryptocurrency by market value jumped nearly $1,000 to $5,080 in a 60-minute window early on Tuesday, confirming a transition from bear market to bull market that it had been signaling for some time.

In fact, after a year-long bear market, savvy traders were waiting on a trend change that would gain credence if and when prices established the most basic of all bullish technical patterns – a higher low and a higher high on its weekly charts. (A higher high would have been confirmed above $4,236.)

Looking back, a big move was overdue, as bitcoin’s average daily trading range had slipped to two-year lows in March. An extended period of low volatility often ends up with a violent move on either side.

That low volatility period ended with a strong bullish breakout, possibly due to the following three reasons:

1. Technicals were foreshadowing a bullish move

As mentioned, bitcoin’s charts have been signaling for some time that a bottom may be in the market.

This first began in late February, when we reported that bitcoin’s 50-week moving average dropped below the 100-week moving average, confirming a bearish crossover – the first since April 2015.

At the time, we wrote that the lagging indicator had turned bearish for the first time in four years, suggesting bitcoin’s price may have bottomed out after a year of declining prices.

We wrote…

Continue reading at COIN DESK

Bitcoin SKYROCKETS 22% to $5,000 In Just Minutes

Within minutes, Bitcoin had reached an extraordinary top of $5106 on Bitfinex, while the daily low was $4172. This means 22% of gains over the past two hours.

Since then and as of writing this, the coin had corrected down a bit and now trading for $4800 (Bitfinex).

Such intra-days movements were common during the first years of Bitcoin; however, a daily rise of more than 20% is the most significant daily gain since the very beginning of 2018. On April 12, Bitcoin had seen a daily range of $6758 to $8069.

As of writing this, it’s not very clear what had caused Bitcoin to rise so sharply. However, as we know the crypto markets, you should always expect the unexpected.

Altcoins Are Dumping: While Bitcoin is celebrating in green, the vast majority of altcoins is crashing against their Bitcoin’s value. As always when there is a strong move in Bitcoin, the Altcoins are affected. Against Bitcoin, we can see drops of more than 10% in value in the major coins such as Ethereum and Ripple price.

btc_apr2-min

Bitcoin Dominance 50% Warning

On our previous BTC price analysis, we’ve warned that the Bitcoin dominance, which is the BTC share over the crypto markets, gets to 50% for the first time in months.

There were two options – either Bitcoin will skyrocket from here, or else drops severely to cause the altcoins to fall even more (which will raise the dominance). As you could see, the cryptocurrency had chosen the first option so far.

The post Breaking: Bitcoin Surges 22% to $5000 In Just Minutes (and It’s NOT April Fools) appeared first on CryptoPotato.

Source: Crypto Potato

Bitcoin Price Posts Biggest Quarterly Gain Since Late 2017

View

  • Bitcoin closed the first quarter of 2017 with 10.91 percent gains – the biggest quarterly gain since the fourth quarter of 2017.
  • While bearish exhaustion is evident, a bullish reversal above $4,236 still remains elusive. A sustained break above that level may not happen in the next few months, as the price seems to be mimicking the bottoming pattern seen in nine months leading up to the October 2015 bull breakout.
  • Bitcoin’s short-term outlook remains bullish as Friday’s close above $4,055 bolstered the bullish setup on the daily chart. The cryptocurrency could test the February high of $4,190 this week.
  • However, a persistent failure to clear $4,130 – the high of a doji candle created on Saturday – may invite selling pressure and yield a drop to the crucial 30-day moving average, currently at $3,938.

Bitcoin made double-digit gains in the first three months of 2019, marking its best quarterly performance since Q4 2017.

The crypto market leader closed (UTC) yesterday at $4,096, representing a 10.91 percent gain on January’s opening price of $3,693, according to Bitstamp data.

That is the first double-digit quarterly gain since the final three months of 2017 when prices had rallied a staggering 220.84 percent.

Back then, the…

Continue reading at COINDESK.com

 

Bitcoin Price Breaks Key Resistance To Hit 3-Month High

 Bitcoin price surged March 29 to deliver its biggest gains against the US dollar since Christmas Eve.


Bitcoin Celebrates 3-Month Highs

Data from cryptocurrency exchange Bitstamp, which traditionally delivers a slightly more conservative price tracker than some major platforms, confirmed Bitcoin hit $4073 Friday.

This, statistics suggest, is the pair’s highest since December 24, and represents daily growth of 1.6 percent.

As Bitcoinist reported, BTC/USD had struggled to hold on to support around $4000 this week, with analysts warning downside could be imminent should the pair fail to close out the month above $3800.

With Friday’s push, however, this scenario appears all the less likely.

At press time, bitcoin price had slowed slightly to come down off its multi-month top, currently trading closer to $4050 on Bitstamp.

Longer-term, BTC/USD is still down almost 40 percent compared to its position six months ago, with the impact of November’s Bitcoin Cash hard fork debacle still weighing on market sentiment.

Altcoin markets appeared slightly buoyed by upward BTC price momentum meanwhile, with Ethereum stemming previous losses to reclaim its $140 level. The largest altcoin by market cap has yet to challenge any longer-term highs, having hit $155 late last month but remaining broadly lower since November.

Not Out Of The Bear Woods

Price performance, however, may yet not be a cause for celebration for long. As analysts reacted to markets, some eyed network phenomena as suggesting mixed territory could continue.

Others, such as developer Nic Carter, noted the expanding mempool – the size of the cache of Bitcoin’s unconfirmed transactions – is increasing rapidly, something which pushes up fees.

“The era of low fees won’t last forever. Consolidate your inputs while you still have time,” he warned on social media.

As Bitcoinist previously noted, fees had hit rock bottom in recent times, thanks in part to the increased propagation of Segregated Witness (‘SegWit’).

Should bitcoin price continue to expand in the short term, commentators will be eyeing metrics from the industry in the face of controversy which centers on fake volume statistics from exchanges.

Two reports this month drew similar conclusions about the issue, which has led to trade volumes being considerably exaggerated. This, Binance CEO Changpeng Zhao added, impacts negatively on a coin’s reputation among experienced investors with market knowledge.

Aggregators, specifically industry stalwart CoinMarketCap, came in for particular criticism from Zhao.

Trade Bitcoin (BTC), Litecoin (LTC) and other cryptocurrencies on online Bitcoin forex broker platformevolve.markets


Images courtesy of Shutterstock, Tradingview.com

The post Bitcoin Price Breaks Key Resistance To Hit 3-Month High appeared first on Bitcoinist.com.

Source: Bitcoininst

Litecoin (LTC) vs. Bitcoin (BTC) – What’s the Difference?

Litecoin and Bitcoin are both one of the largest cryptocurrencies in the world. Litecoin is often called the silver to Bitcoin’s gold. Though both coins are inherently similar and have similar objectives, there are few differences between the two.

Bitcoin and Litecoin Origin

The concept of Bitcoin originated as a “peer-to-peer electronic cash system” which was pioneered by an unknown developer or group of developers using the pseudonym Satoshi Nakamoto. At first, a whitepaper authored by Nakamoto surfaced, and soon after, the Bitcoin blockchain came into being. Some of the earliest BTC coins were mined by its creator.

Litecoin, on the other hand, is a fork of the Bitcoin blockchain. Charlie Lee, a former Google employee and former Engineering Director at US-based crypto exchange Coinbase is credited for the release of Litecoin which went live in October of 2011. Technically, Bitcoin and Litecoin are the same as they originate from the same source code, but Litecoin comes with a few modifications.

Transaction Speeds

Bitcoin generates a new block every 10 minutes which means that transactions can only be verified after 10 minutes of completion. This makes Bitcoin one of the slowest payment processing blockchain networks in the world.

Litecoin aims to make the block time go down to 2.5 minutes, a 4x improvement in speed compared to the Bitcoin network. This means that transactions can be verified more quickly, allowing users to make payments without worrying about slow speed on the Bitcoin network. It also makes Litecoin a very attractive option for merchants who…

Continue reading at THE MOTLEY FOOL

 

Bitcoin

Bitcoin is about to set another record — and this might actually be a good one

Bitcoin has set a number of records over the past year or so, most of them bad, but the most famous digital currency is on the verge of setting a mark that may give crypto pundits something to cheer about.

According to Dow Jones Market Data, the monthly trading range of bitcoin for March stands at 7.8%, which if holds, would be the least volatile on record.

“Volatility is in itself a neutral signal. Historically however, low-volatility periods in BTC have always preceded prolonged bull runs, especially after capitulation moments of high momentum as seen in November and December,” wrote Murad Mahmodov, cryptocurrency analyst in a note to MarketWatch.

How narrow is 7.8%? After March, the narrowest monthly trading range for bitcoin BTCUSD, +2.40%  since the beginning of 2017 was 21.2% and the average monthly trading range since October 2013 is 53.7%.

Skeptics like economist Nouriel Roubini have long argued excessive volatility, like monthly trading ranges greater than 100% observed in late 2017, would hinder mainstream adoption of digital assets. In an October Senate hearing on cryptocurrencies and blockchain, the professor of economics at New York University’s Stern School of Business spoke about volatility and other shortcomings.

“No one prices anything in bitcoin. Few retailers accept it. And it is a poor store of value because its price can fluctuate by 20-30% in a single day. And since its price has been so unstable or volatile almost no merchant will ever use it as a means of payment,” he said.

But as volatility subsides, some industry pundits are…

Continue reading at MARKET WATCH

 

The surprising source that could spark the next Bitcoin price rally

Bitcoin, trapped in a long-running and bitter bear market, has been searching for the next catalyst for a price break out after hitting all-time highs of almost $20,000 in December 2017.

The bitcoin price has been steadily falling since then, dropping as low as $3,150 per bitcoin, down an eye-watering 85% from its peak and leaving investors and traders out in the cold.

Now, it’s been predicted that the spark that could cause the next bitcoin price rally could come from a surprising source: the world’s central banks that might want to stock up on supplies of bitcoin as a form of digital gold.

“The main use for bitcoin today is as digital gold,” Garrick Hileman, head of research at Blockchain and research associate at the London School of Economics, told AltFi’s Crypto For Earthlings podcast. “The question is though, who will be buying digital gold? If central banks start to accumulate bitcoin, that could be hugely impactful on bitcoin’s price.”

Central banks, which set interest rates, manage the creation of new money, and make sure countries’ economies continue to tick along without overheating, manage staggering amounts of wealth and moves by big central banks, such as the U.S. Federal Reserve or the European Central Bank, to build up reserves of bitcoin and cryptocurrencies could trigger an unprecedented wave of demand…

Continue reading at FORBES.com

Bitcoin

Why Bitcoin is Incomparable to History’s Famous Bubbles

Bitcoin economist Saifedean Ammous says that nothing has ever risen as fast and as much as Bitcoin price – which makes it ‘incomparable’ even to the greatest bubbles in history.


‘Bitcoin is a Completely New Animal’

Bitcoin economist and author of The Bitcoin Standard, Saifedean Ammous, recently shared his views on whether the world’s most popular cryptocurrency can be compared to history’s famous bubbles.

Paul Krugman, Jamie Dimon, Warren Buffet and other critics often refer to Bitcoin as a ‘bubble,’ particularly as BTC/USD price has dropped from nearly $20,000 in December 2017 to around $4,000 today.

But comparing it to historic stock market crashes is comparing apples and oranges, argues Ammous.

“Bitcoin is a completely new animal, different from all before it,” he says.

Your old toolbox for analyzing bubbles, currencies, and stocks doesn’t work on [Bitcoin].

It is these outdated tools that prevented the likes of Buffet from missing out on one of the best investment opportunities in history. Even the most robust stocks today, such as Amazon (AMZN), have been outperformed by the digital currency, even at today’s $4,000 price.  

What’s more, is that after every time the bubble popped, it has come back even stronger. In fact, there have been at least five 80+ percent crashes over the past decade. Ammous notes:

Bitcoin appreciated to 200,000,000% of its value in nine years, then crashed back down all the way to around a 30,000,000% rise.

In other words, had you bought $100 dollars worth of bitcoin in 2009, you would have about $8 million today.

Bitcoin ‘Incomparable’ to History’s Famous Bubbles

The picture also looks different when comparing Bitcoin against history’s famous bubbles. It has often been compared to ‘tulips’ in the media with every drop in bitcoin price. But this comparison is widely inaccurate just like the common misconceptions about Tulipmania as a whole, because BTC price posts a lower high after every crash. 

“Nocoiners’ favorite bubble, Dutch tulips, lasted for just over 2 years in which the price appreciated around 60-fold, then crashed lower than its original price,” explains Ammous.

It also goes without saying that while Bitcoin is the world’s first, borderless, decentralized, neutral money that enables anyone to send millions for pennies, the other is a flower. 

The rate and scale of valuations is another factor making Bitcoin nothing like the 2008 housing bubble, for example, when housing prices tripled in two decades, and then lost around 40 percent within only a few years.

Then there’s the 1929 stock market bubble that rose six-folds during the Roaring 20s. The subsequent crash saw prices return to their original price. Meanwhile BTC/USD is still ten times greater than its ‘pre-bubble’ price of around $400 in 2016.

Ammous says: 

Bitcoin is not only incomparable to bubbles, its fast rise is also incomparable to the most successful companies and innovators. As far as I can tell, nothing has ever risen as fast and as much as Bitcoin has risen.

Bitcoin Self-Corrects to Suck Up Fiat

So how did Bitcoin manage to rise so much and so fast in such a short timespan? The secret lies in its design. Namely, the inelastic supply of 21 million bitcoin – a number set in (digital) stone, making it the hardest form of money that ever existed.

What’s more is that unlike central banks, the supply (mining) of bitcoin is programmed to grow at a predetermined rate (up to 21 million).

This makes it the most predictable asset that ever existed. Not only does everyone know how many bitcoins will exist 10 or even 100 years from now, but this data is also transparent and verifiable.

But Ammous notes another important feature that plays an important role in Bitcoin economics: the mining difficulty adjustment.

“My explanation for this rise is that bitcoin’s difficulty adjustment makes it a truly unique monetary asset built to rise fast,” he says. 

As covered by Bitcoinist, the difficulty adjustment acts as a counterbalance to fluctuations in Bitcoin hash rate or computing power of the network that can with the spot price.

Ammous notes that the difference between Bitcoin and traditional money is that the latter is linear, resulting in boom and bust cycles. The former, however, is a positive feedback loop that strengthens the network over time even with erratic price swings.

This makes Bitcoin a completely unique as it does not behave like a traditional asset whose production depends on supply and demand.

It’s the world’s first self-correcting asset that keeps the most efficient miners profitable regardless of market conditions while siphoning off more and more fiat money by design.

Simply put, Bitcoin is not the bubble, it’s the pin.

Do you agree that BTC is not like other historic famous bubbles? Share your thoughts below!


Images courtesy of Shutterstock

The post Why Bitcoin is Incomparable to History’s Famous Bubbles appeared first on Bitcoinist.com.

Source: Bitcoininst