Bitcoin is waiting for the joint decision of regulators after the G-20 meeting
From March 19 to 20 in Bueanos-Ayrose hosted the G20 summit to discuss cryptocurrency. It was decided that all countries will prepare their own versions of regulation of the cryptocurrency market until July of this year.
The summit participants did not recognize the cryptocurrency means of payment as they do not meet the characteristics of Fiat money: a means of payment, means of accumulation, a measure of value. Temporarily assigned the status of an asset. Politicians agreed that cryptocurrencies are not a threat to the world economy.
Also noted problems when using cryptocurrency: tax evasion, financial market volatility, money laundering and the financing of criminal activities. If bitcoin collapsed, so cryptologist summit staged. Now let’s see what draws BTCUSD on the daily chart.
Fig. 1 Daily chart. Quotes from Bitfinex
On February 20, bitcoin fell against the us dollar by 38.5%, to $7240 for 26 days. The upside movement of $6,000 (February 6) correction made 76.4% (Fibo level). The rebound happened on the news that at the summit of G20 Finance Ministers and Central bankers will not prohibit the use of cryptocurrencies.
March 18, in response to the news of bitcoin has risen by 13%. On the daily chart formed a reversal bar, in which the goal is at $9360 (maximum “glow” + range “candles”). The price is in descending channel “B-B”. Turn locks when you close the daily bar above $9900 (the channel is marked by a dot).
Now talk about what level I can rise the price. To begin, I calculated the rate of price increase from $6000 to $11788. 14 days it increased by $5788 ($413 per day). From $7240 course is growing at a rate of $471 per day. If this rate continues, by April 1 bitcoin will reach $14000. This is the perfect option. I do not see it as at the moment, negative factors for the stock market more than positive.
The idea of taking the rebound in the likeness of the movement of $6,000. For this system the channel “C-C”. At $13028 bullish wave from $7240 will be equal to the wave from $6,000 to $11788. In the current environment, the increase in prices to $13000, perfect for bitcoin.
If during recovery, the price the market will swing in different directions on the negative news, the growth could reach the 61.8% ($10816) from upward movement from $6,000 to $11788.
Now a few words about reversal dates. Turn up I had scheduled for March 12-13. The rebound occurred on March 18. Deviation in 2-3 days for the daily chart is the norm. In cycles, the growth phase should last till 9-15 April. If the speed will be less than $413 a day, then we are unlikely to get to $12000. And the top formed a strong resistance zone of $11700-11788. It can only slip at high speed. As for the descent, I have at the moment, it can be obtained with 9-15.04.18 to 15-20.05.18.
The fact that I bought BTC on the decline of quotations, plan to sell in the $12000-13000 thousand In the first place to get rid of the items purchased at an unfavorable price. $10816 – first level to partial fixing. At this stage in the rally bitcoin not believe it. Growth on it waiting for after July 15.