Bitcoin is experiencing the nerves of captainvalor
Bitcoin is experiencing the nerves of captainvalor, forming mixed signals. At this moment the price is still below $4000 – at the time of preparation of the review of the BTC/USD on Coinbase is trading at $3970.
Given the fact that the $3000, which is an important support level has not been reached, there remains the potential to see a further decline in BTC with the current prices by another 22%. The importance of the $3000 mentioned seem to be all experts with at least distantly related to cryptocurrency.
But at the moment attention to short-term speculators focused on the emerging price pattern on 4-hour chart. Price made two attempts to go below $3600, but twice for the bears was not strong enough to overcome this level. In light of these developments many new traders have considered the presence of a reversal pattern “double bottom”, and think about shopping with current prices.
But we should warn against such actions as they may be incorrect. First, a purely technical signals without confirmation of the news background is weak support for the quality of the transaction. Secondly, now there is not only the news of the confirmation, but more than that, the news background is negative in General. Mining companies go bankrupt, the private players are leaving the market, regulators are hardening their position to the ICO market, the influx of new money stopped, and the cryptocurrency market is in the grip of panic.
Also the current period for making decisions to buy now an inconvenient fact that the price of BTC/USD has formed a clear down channel on the hourly chart and is currently at the resistance area, which gives grounds to consider the short position with a target of $3100 for BTC/USD. A buy signal will be generated only if the current downtrend will be broken.
Special attention should be paid to news about the launch of Bitcoin on BTC futures on the Nasdaq, scheduled for early 2019, the year, reports Bloomberg. However, this news should not be regarded as a signal to buy, because futures are tools that allow you to earn in the direction of a sale than not fail to take advantage of players by selling futures for BTC at the exchange CBOE and CME immediately after their launch in December last year, good earning on the fall of the “overheated” market.
Thousands of crypto-traders, and even individual funds paid dearly for his short-sightedness, wrongly considering the launch of futures as a positive factor for the market.
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