Stark China Warning Causes Bitcoin To Suddenly Crash 10% As Other Major Cryptos Nosedive

Bitcoin has suddenly moved sharply lower, losing 10% of its value in the last 24 trading period and dipping below the psychological $7,000 level.

The bitcoin price, which has been on a downward trend all month, began this week at over $8,000 but bad news for bitcoin and crypto out of China this morning has knocked investor confidence.

Bitcoin rivals ethereum and bitcoin cash have led the market lower this morning, each losing over 12% of their value in the last 24 hours.

Ripple’s XRP, litecoin, EOS, bitcoin SV, and binance coin have all also been heavily sold off, wiping billions of dollars from the value of the combined bitcoin and crypto market.

This morning the People’s Bank of China (PBoC) has warned it will be cracking down hard on bitcoin and cryptocurrency trading in the country.

“Once [bitcoin or cryptocurrency trading] is discovered, it will be disposed of immediately, and it will be prevented from happening early,” a PBoC statement, translated through Google, read.

The Shanghai-based central bank also warned against conflating the country’s interest in blockchain with bitcoin and crypto.

“Recently, in the process of promoting blockchain technology, virtual currency speculation has shown signs of rising. Investors should be careful not to mix blockchain technology with virtual currency.”

Last month, China’s president President Xi Jinping that the country should “seize the opportunity” of bitcoin’s blockchain technology, with many taking the blockchain endorsement as a signal the country could be about to embrace bitcoin.

While bitcoin and crypto trading isn’t explicitly banned in China, the country ordered banks to stop working with bitcoin exchanges in…

Continue reading at FORBES.com

Bitcoin Crashes Completely Wiping Out the October Rally

Bitcoin (BTC) finally dropped all the way down to the $7.4Ks in minutes as anticipated in our previous analysis if the key $7.8K level did not hold.

Cryptocurrency market daily performance

Cryptocurrency market daily performance. Source: Coin360

Over the past week, BTC/USD has faced a slow grind down to the $8,000 price level. Now, Bitcoin also broke below its 0.786 Fibonacci retracement level as well — its last major level before a confirmed full retrace of the Oct. 25 rally to $10,500.

After a short bounce, Bitcoin has bounced back to around $7,600 at press time.

“China bans Bitcoin” FUD works again

As Cointelegraph reported, rumors of Chinese authorities raiding Binance’s Shanghai offices were likely also responsible for the drop. However, the exchange said that they had not received a notice from Chinese authorities, which required Binance to detail its activities.

Specifically, a Binance spokesperson denied the rumors, saying:

“Binance has no fixed offices in Shanghai or China, so it makes no sense that police raided on any offices and shut them down. […] There has been a recent spike in the number of negative articles and activities against Binance in China. We wouldn’t delve too much into what causes this, because we prefer to continue BUIDLing our solutions.”

Bitcoin price fully retraces October rally

Nevertheless, after several days of choppy price action, BTC/USD finally posted a decisive drop below $8,000 falling under its 0.786 Fibonacci retracement level at $7,870 and plummeting all the way down to $7,390.

This was the level of consolidation prior to…

Continue reading at COINTELEGRAPH.com

Bitcoin Price Falls

Bitcoin Is Crashing Again

Bitcoin is going down. It is in a bear market.

That is bad news if you are a short-term holder and good news if you are a long-term acquirer.

I reiterate, all you need to know is which way bitcoin (BTC) is going in the long term to develop a very profitable strategy. Get the direction wrong and you will lose. If you don’t “know” the direction, you are ill advised to play.

I believe the direction is up and significantly up, but for now in the short term it is down.

Now to get a view of how things can pan out it’s best to remove as much noise as possible. The easy way to do this is to use moving averages. The trouble is everyone is doing that, which tends to weaken the usefulness of that tool. Anyway, here is BTC with a 200 moving day average, which is the long-term indicator many watch.

Classically, the current breakdown would be considered bearish. I’m not a fan of moving averages because they change with the current price as it changes, so that leaves a misleading trail. They also tell you after the event that things are bearish. Now the moving average says the market is moving up on average and only gives a sell hugely below the high. In volatile markets this is a chronic problem.

So what I sometimes do is “doctor” the chart manually to de-noise it. The recent sharp rise and fall is pure noise:

Something hit the price then an event (the president of China spoke on blockchain) poked it up. These events are outside of “the trend” so let’s imagine they didn’t happen. Like a soviet political artist, let’s airbrush these inconvenient events from history.

You get this:

Now that’s a pretty clear picture. Bitcoin is tanking towards a capitulation. That bottom looks to be quite near in terms of time but the bottom is hard to call. Here are some ideas…

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Perhaps Google Will Kill Bitcoin, After All

The bitcoin and cryptocurrency industry was spooked earlier this year by reports search giant Google had achieved so-called quantum supremacy, something that could potentially break bitcoin’s cryptography (but likely won’t).

Meanwhile, the bitcoin price has climbed this yearlargely due to interest in bitcoin and crypto from the world’s biggest technology companies–with others, including the likes of iPhone-maker Apple and online retailer Amazon, branching out into traditional financial services.

Now, Google, in partnership with U.S. banking giant Citigroup, has said it’s planning to launch its own fully-fledged “smart checking” bank accounts via Google Pay–piling pressure on bitcoin developers to improve user experience and adoption or face redundancy.

Google’s planned bank account, code-named Cache and expected to allow users to add Google’s analytic tools to traditional banking products, is due to be launched sometime next year, alongside Facebook’s planned bitcoin rival, libra.

“Our approach is going to be to partner deeply with banks and the financial system,” Google executive Caesar Sengupta told the Wall Street Journal newspaper, which first reported the story.

“It may be the slightly longer path, but it’s more sustainable. If we can help more people do more stuff in a digital way online, it’s good for the internet and good for us.”

Google is not planning on selling the financial data of its checking account users, according to Sengupta. Google does not currently share data from its Google Pay service, which boasted an estimated 11.1 million U.S. users last year, with advertisers.

The move by Google follows the launch of Apple’s Goldman Sachs-backed credit card this last summer, ride-hailing app Uber’s offer of bank accounts and credit to its drivers, and Amazon’s plans to introduce personal accounts for its customers.

Bitcoin and other major cryptocurrencies have, meanwhile, struggled to attract new users and retail acceptance with price speculation still the biggest driver of bitcoin interest…

Continue reading at FORBES.com

Bitcoin Falls Through Key Average

  • Strong performances in traditional assets and a lack of new reasons to buy crypto is suppressing BTC’s price.
  • A loss of the 50-day moving average exposes the $8,000 price level.
  • The daily RSI shows that momentum slowing, which could hint at greater selling pressure in the short term.

Bitcoin (BTC) is at risk of another sell-off after its price fell beneath a key moving average on Nov. 15, as a relatively strong performance by traditional assets caught investor attention.

According to Jeff Dorman, CIO at Arca, an investment management firm dealing in digital assets, BTC’s drop in price is inversely correlated to the strength of global markets, including record highs of the DJIA, this week.

“Volumes are low, no new money is coming into the ecosystem, and stocks, bonds and gold are all up double-digits year-to-date which makes the non-crypto world lose focus,” Dorman said.

Daily chart

At 14:00 UTC, BTC fell 2.1 percent breaking through the 50-day moving average (MA), flagging potential for a deeper drawdown from Oct. 25’s peak of $10,350.

The loss of the 50-day MA means the price of BTC could fall through the $8,000 level, and, if combined with a looming long-term bear cross of the 100 and 200-day MA’s, could confirm a long-term bearish indicator.

In addition, the RSI, a measurement of trader momentum and sentiment, did not exceed the neutral line at 50.00 after falling beneath that point on Nov. 10, hinting at greater selling pressure for next week.

Total daily volume has remained…

Continue reading at COINDESK.com

Bitcoin Price Records 3-Weeks Low, But Can The Situation Turn Bullish?

Since our previous analysis, Bitcoin was mainly ‘stuck’ trading between the range of $8600 – $8700. We had mentioned the possibility of a bullish breakout; However, the breakout did take place, but quickly turned into a fake-out upon reaching $8800.

Overall, despite the lower highs trajectory, which is a bearish pattern, we can see that Bitcoin is forming a bull flag, and this is still intact (till proven otherwise). Besides, the $8500 area is the Golden Fibonacci level of 61.8% from the vast 42% surge on October 26.

The last level, along with support at $8400, might be serving as a substantial support area, at least for the short-term.

Keeping in mind the above, we’re expecting a breakout to either direction over the coming days, and the fact that a weekend is nearby is not a coincidence since Bitcoin loves producing price moves during weekends.

Total Market Cap: $236.7 billion

Bitcoin Market Cap: $155.8 billion

BTC Dominance Index: 65.8%

*Data by CoinGecko

Key Levels to Watch

– Support/Resistance: The first level of support is today’s low around $8500, along with the mentioned Golden Fib level. The bull flag formation’s lower angle is around $8430; hence, the $8400 horizontal support can also be kept in mind here.

Further below is $8200 before reaching the good old $8000 support area. A break below $8400 is likely to ignite a quick bearish move back to $8K.

From above, the first level of resistance is the support turned resistance area of $8650 – $8700. Little above lies the $8800 level, which is currently where the bull flag’s upper boundary lies. Further above is the area of $9000 – $9150, which is the past week’s high.

The significant 200-days moving average line is getting further – hovering around $9320 as of writing this. In my opinion, the level of $9300- $9400 is the critical mid-term level.

The RSI Indicator: The daily RSI is barely holding the 44-support level. However, anything is possible from here, as the RSI needs to take a decision.

Both the 4-hour and the daily chart are in their oversold territory, as can be concluded by looking at the Stochastic RSI oscillator. This can turn bullish and fuel the next price rise, in case of a bullish cross over.

Trading volume: Despite the recent price drop, the volume is far from being significant.

BTC/USD BitStamp 4-Hour Chart

btc_nov15_4h-min

BTC/USD BitStamp 1-Day Chart

btc_nov15_d-min

The post Bitcoin Price Records 3-Weeks Low, But Can The Situation Turn Bullish? (BTC Analysis & Overview) appeared first on CryptoPotato.

Source: Crypto Potato

Altcoins

Which Altcoins Will Outperform Bitcoin in 2020?

Most of the cryptocurrency market has been increasing throughout 2019. However, the rate of increase for BTC has outperformed that of altcoins, causing its market dominance rate to increase.

This has led to many people asking the question of when ‘altseason’ will begin and which coins will outperform Bitcoin?

Best-selling book author Nik Patel wrote an article on the five coins which he believes will do so, based on both fundamental and technical factors. In no particular order: KMD, NKN, FTM, DAG, and VIDT.

The coins are also outlined in the tweet below from Nik Patel (@cointradernik).

Nik Patel@cointradernik

I’ve published a post detailing the 5 alts I expect to significantly outperform Bitcoin in 2020: https://www.altcointradershandbook.com/the-next-bitcoin-top-5-cryptocurrencies/ 

I’ve given an overview of fundamentals, price-histories and speculative prospects.

Spoiler: The 5 alts are , , , and

Enjoy the read!

‘The Next Bitcoin?’ Top 5 Cryptocurrencies That Will Outperform in 2020

What is the next Bitcoin? What is the next Ethereum? These are the two questions most often asked by those unfamiliar with cryptocurrencies…

altcointradershandbook.com

261 people are talking about this

Let’s take a look at some of them and discuss their future potential.

Komodo

The KMD price reached a low of 5330 satoshis in October 2019, breaking down below the support area of 6300 satoshis. However, the level could not be sustained and KMD increased above the support area within the next few weeks.

Whenever a strong support is broken and the breakdown is not sustained the movement usually has major bullish implications.

Furthermore, there is a yearlong bullish divergence developing in the MACD, combined with a bullish cross. The previous time a cross happened an increase of more than 100% followed.

This makes us believe that the price will begin to move upward. The 30,000 satoshi prediction in the article seems reasonable, amounting to a 300% increase on the current price.

Komodo

New Kind of Altcoin Network

The NKN price reached a low of 171 satoshis on September 3, 2019. Afterward, it began an upward move, increasing by more than 300% and reaching a high of 750 satoshis on October 14.

Since then, it has been decreasing, creating a trading range between the support and resistance areas at 260 and 350 satoshis, respectively.

Altcoins Bitcoin

The article gives a prediction of 1500 satoshis for 2020. Using a fib retracement tool on the current correction, the 4.618 and final fib level aligns with this prediction.

Additionally, this is the high price reached on February 21, 2019.

Altcoins Bitcoin

Fantom

The FTM price has made a double bottom at…

Continue reading at BEINCRYPTO.com

Bitcoin Will Reach $1M, Overtake Gold By 2028: Industry Veteran

Bitcoin will overtake gold in terms of market capitalization by 2028 and be worth over $1 million, one of the cryptocurrency’s earliest proponents Bobby Lee suggested in a series of tweets.

What Happened

“Gold is about $8 trillion today, which is [50 times] the worth of Bitcoin,” Lee, who is best known for founding China’s first cryptocurrency exchange desk BTCC said. “I predict the [flippening] will happen within [nine] years and [bitcoin] will shoot up past [$500,000,].”

Flippening is an industry jargon used to refer to any future event where another cryptocurrency ends up dominating BTC in terms of market capitalization. Lee used it to refer to bitcoin overtaking gold.

Deflationary Value Will Help

Lee further pointed out that bitcoin’s deflationary value will be an asset in helping it reach that target, in comparison to gold.

“[Bitcoin] was designed to be [super] valuable over time,” Lee said. “First 10 [years], there were only [two] block reward [halvenings], but the next 10 years, there’ll be [three] (that’s 50% more)!”

Lee is referring to a bitcoin protocol that requires the mining rewards to be halved every four years.

There can only ever be 21 million bitcoins in existence, and more than 18 million have been mined already. The people mining, or creating, these bitcoins are rewarded with a part of it for themselves.

The rewards they receive are halved to ensure a proper supply and demand balance. These previous halvenings happened in 2012 and 2016. The next halving is estimated to occur in May 2020, followed by two more in 2024 and 2028.

They are usually followed by an increase in BTC market price, as miners try to sell the cryptocurrency for a higher price to account for their reduced income.

Predictions Run Wild In The Market

Lee further claimed there is an…

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He bet his family’s entire life savings and mortgaged his home for a shot at millions — now he’s living the dream

That’s Dan Conway, a former middle-management cog in a Silicon Valley firm’s wheel, describing in a piece for The Hustle how it felt to see his all-or-nothing $300,000 bet on Ethereum make him a very rich man.

It all started when Conway, who was making about $150,000 a year, asked his wife if he could invest the family’s $100,000 in savings, which was earmarked for their three children’s college education, in a risky crypto play.

“I hated the fake company culture, the bureaucracy, the endless chains of command,” he wrote. “Like so many others, I was looking for some kind of escape.”

His wife knew it could cost them everything but, amazingly, agreed to it anyway.

As a guy who had gotten into trouble before with his addictive personality, part of him recognized such a risk as self-destructive, but the more he read about cryptos, the more he began to believe in its future.

This was in 2015 and bitcoin BTCUSD, -3.46% had fallen out of favor, dropping from a previous high of $1,200 to $300.

“What if it goes up again? What if I put everything I had into this?” he wrote. “I could get rich and never work another day in Corporate America.” After eating up every bit of information he could, Conway turned his focus from bitcoin to Ethereum ETHUSD, -1.88%  , which had just launched in July 2015.

“As a disenfranchised suit-and-tie, I was enraptured by the possibility of a decentralized future,” he wrote. “As a greedy speculative investor, it gave me a rush.” He became so smitten with the potential, that he embarked on a wild ride — he used that $100,000 to buy 6,933 ETH at an average price of $14.

Soon thereafter, he was served a heaping spoonful of crypto volatility and watched his initial investment drop below $40,000. “In the midst of a particularly volatile week, I found myself in the emergency room, struggling to breathe,” he explained. “The doctor diagnosed me with a panic event.”

Undeterred, Conway doubled down by tapping into his home equity line. He borrowed another $200,000 and ended up with a total of 26,750 ETH at an average cost of $11.21 each. This had all the makings of serious disaster, but, no, the investing gods had other plans.

“Something miraculous happened: It kept going up… and up… and up. Between February and March of 2017, ETH shot from $15 to $50 per coin. By April, it was at $70; by May, $230,” Conway wrote in The Huslte. “In a span of four months, my $300,000 investment ballooned to $6 million.”

It didn’t stop there. In January 2018, Ethereum topped $1,000, and the memes were flying across the internet:

“It was an unprecedented burst — so monumental in scope that it temporarily froze the exchanges,” said Conway, who wrote a book about his journey. “It was like a 9.0 earthquake with an infinite number of aftershocks.”

He got the urge to sell, and sell he did. It was a market timer’s dream, as he sold most of his Ethereum position for a cool $10 million. Soon after he cashed out with his fortune, digital currencies were absolutely clobbered and still haven’t recovered. Ethereum is currently trading at under $200.

Meanwhile, Conway paid off his mortgage, took a dream trip to Africa and bought a second home in Ireland. He still has seven-figures sitting in his bank.

His advice for would-be Ethereum traders…

Continue reading at MARKETWATCH.com

Bitcoin Falls, Breaking Support Level

Bitcoin (BTC) price lost support at $9,000 on Nov. 8 after several days of downward action finally saw markets make a decisive move.

Data from Coin360 showed BTC/USD breaking out of its narrow trading corridor between $9,000 and $9,500 on early Friday.

Bitcoin flickers bearish

That corridor had broadly characterized the largest cryptocurrency since the end of October. A brief spurt beyond to $9,520 was soon met with resistance, while a dip into the $8,000 range was also short lived.

In daily trading, Bitcoin hit local lows of $8,980 before likewise bouncing higher, with markets currently trading at around $9,000.

Bitcoin 24-hour price chart

Bitcoin 24-hour price chart. Source: Coin360

As Cointelegraph reported, suspicions have mounted among analysts over price behavior in recent weeks and months. Earlier, erratic moves CME Group’s Bitcoin futures market gained particular attention.

There, the Bitcoin price moved to fill a “gap” in trading — observed when one session ends higher or lower than where the next begins — by suddenly crashing by hundreds of dollars before recovering minutes later.

Filling in futures gaps has become standard behavior for Bitcoin, with analysts using them to forecast potential market drops.

But some still remain bullish on the long-term outlook, with regular Cointelegraph contributor Michaël van de Poppe this week predicting BTC/USD rising to new all-time highs of $22,000 next year.

XRP continues pre-conference fall

Beyond Bitcoin, Friday saw further poor performance for two major altcoins