Bitcoin now pivots on the daily scale as a bottom was seen, at the very least on the short-term. As the downtrend found a low at 5858, the brief puncture of the 6k support level was just that – brief. BTC proceeded to hold support fairly well on the daily scale as stochastic daily bottomed as well and brought more volatility to the market. Now trending higher, BTC finally sees price points not seen since last week. This has been done while also making a break through the daily MA(moving average) line.
Bitcoin continues the trend – down, in US overnight(CST) trading. As evening trading picked up downward speed, BTC began the last 12 or so hours by breaking the 6k support mark to achieve a low of 5858. This is still a bit far from the next support level down at 5600. Overnight trading saw the retrace take back part of the losses to allow BTC to hold the 6k support level once again, however, this still gives major gravity to the downtrend.
Bitcoin now sits slightly higher than weekend trading. Overnight (US CST) saw price hit a low of about 6290 before reaching the mid 6500 range. This is due to the fact that the 4-hour scale hit the MA(moving average) line. The tight trading range has maintained throughout the weekend into Monday morning and with the downtrend still intact, a high needs to be made followed by a higher low* as discussed in earlier analytics. This feat will likely be accomplished over the next 48 hours – that is if BTC can hold support. The next support level down stands at 6400.
Bitcoin now continues to stay flat after a few days of fallout. The downtrend, now still active, needs to see a new short-term high made. Daily price movement shows that BTC has struggled to push higher, but remains above the major 6k support level. The breakdown of this level will, as discussed earlier in the week, seek 5200 as the overall downtrend large-scale is still active. The upper trend line of the overall bearish movement was briefly broken, but as time goes on, this line gets much further away.
Even as the crypto bear market continues to roar one persistent theme has become extremely reliable: Bitcoin Dominance. In fact, it has become the metric de jour across media platforms and within crypto circles. This theme has made institutional players cast a wary eye at any digital asset other than Bitcoin itself.
Thus, the continued destruction of the alt-coin market; with no relief in sight.
At the time of writing this, Bitcoin dominance – or its share of the coin market cap percentage is now above 50 percent – the highest since mid-December 2017. According to CoinMarketCap, the total market capitalization of Bitcoin is currently valued at $105 billion.
Thomas Lee, Co-Founder & Head Analyst at Fundstrat Global Advisors, recently noted that rising Bitcoin dominance is a sign that a recovery is in order.
The sharp decline in Bitcoin’s price $6156.22 +0.06% was purportedly triggered by the SEC’s announcement that they will delay the decision on the much anticipated Cboe-backed VanEck/SolidX bitcoin ETF proposal. Oddly enough, though, this move was well anticipated and expected.
Apart from that, the last few weeks saw a string of positive news, which failed to trigger any positive price movement.
ICE announced a new project – a digital asset platform dubbed Bakkt in collaboration with marquee companies such as Microsoft, Starbucks, BCG, and others. According to popular cryptocurrency trader and owner of investment firm BKCM LLC Brian Kelly, this was the “biggest news of the year for Bitcoin.”
Goldman Sachs is reportedly going to start managing Bitcoin for its clients, responding to their serious interest.
At the same time, with hashrates at records highs, SegWit adoption continues to grow as its share of all BTC transactions is now above 40 percent, another all-time high.
Whether fresh highs in Bitcoin dominance is any sort of marker for a turnaround in the crypto markets is a question yet to be answered; crypto bulls will point to anything in hopes of breaking the overwhelmingly bearish trends. Is there a clear way to play (profit) from Bitcoin dominance? Sure, buy the fu**ing dip!! BTFD!
Bitcoin begins to slow down a bit after US (CST) overnight trading Friday night into Saturday produces price activity that sees not only the 6k level tested but a snapback during the evening hours. This is unusual in the sense that BTC does not see many larger gaps at all, however, gapped directly to the support level at which it now stands. This is also a sign of a large volume of selling hitting the market, but likely by smaller groups.
Bitcoin continues to stay at sub-retracement levels as price action hangs in the high 6400 range. At the moment, BTC seems to challenge what looks to be the “bottom” on the daily scale. The flat bottom created by the last two daily candles show the same 6280 close then open on the very next candle which came back to take about 2/3 of the previous day’s price action back – a good sign if looking for any sort of bottom. BTC now seeks out 6800 resistance as 6400 is firm support and is now holding. The hourly scale shows price attempting to hold three things: support, the MA(moving average line), and stochastic momentum which we will cover in the tech specs.
Bitcoin overnight (US CST) has attempted to keep a hold on support @ 6400 as lower volatility has finally brought the fallout to slow down. BTC started the month by breaking below 8k and testing the 7800 pivot level(not support) and then actually seeking out support at 7600. After slowly laddering down through 7200, BTC sought and broke 6800 only to find the 6400 settlement area at which it currently stands. BTC did break down to the 6178 briefly but saw a quick rebound. The current state of BTC will provide an outlook as to the retracement which is more needed today than ever as the long-term upper trend line gets further away as time passes.
Bitcoin now falters once again as supports break down and price action falls below the 6800 support level. BTC now sees 6400 tested, and with volatility and fast-paced price action, BTC tests this level quickly before bouncing to try and regain some of the losses.