🐂 Not all bull runs are created equal. November’s AI picks include 5 stocks up +20% eachUnlock Stocks

Bitcoin Technical Analysis

Published 12/06/2019, 11:02 AM
Updated 07/09/2023, 06:32 AM
BTC/USD
-

Bitcoin's next local bottom might be around the corner.

Bitcoin trended down for the past five months and recently bounced off heavily its major support zone at around $6.300. Neither the RSI nor the MACD show signs of a bullish reversal. At the current stage, it seems likely that Bitcoin will most likely continue its downtrend. Before that, however, it might reach up to the major resistance around $9.500, where both the Fibonacci extension and Fibonacci retracement 0.382 level act as resistance. Additionally, the high from April 2018 acts as additional resistance. Yet, Bitcoin still needs to break the 0.5 fib level at $8.500 before it might re-test the 0.382 fib levels.

Furthermore, it can be observed that the current bounce is the second attempt of the golden ratio to successfully hold as support. A bounce off this level is considered bullish. However, Bitcoin was recently rejected by the 0.382 fib level, which is bearish.

In summary, the upcoming weeks will act as a significant indicator. Either Bitcoin fails to break the resistance at the second attempt, then Bitcoin will most likely fail to hold the support at the third attempt. A break of the 0.382 fib level at around $9.500 would, however, initiate a trend switch and Bitcoin’s trend could be considered bullish again.

For now, the outlook is rather bearish. It seems likely that Bitcoin will be rejected by the 0.382 fib level. This, however, implies another uptrend potential of around 25 percent.

While Bitcoin is still the mother of all cryptocurrencies, there are some new cryptocurrencies upcoming that take privacy really seriously. E.g. QURAS, enables a protocol that facilitates private transactions through public smart contracts. By utilizing two leading privacy technologies, Ring Signature and Zero-Knowledge Proof, QURAS gives users and enterprises options in choosing the suitable privacy level for any type of transaction. This privacy 2.0 technology allows anonymous transactions, which means only the involved parties can view the transaction while the smart contract resides on the public QURAS blockchain.

Latest comments

Loading next article…
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.