Preparing data for you could take a moment.
Thank you for your patience.
It is worth the wait.
We frequently make our website faster.
Bitcoin (BTC) Price Prediction: BTC/USD Falls as Bitcoin Revisits $30,000 Low

Bitcoin (BTC) Price Prediction: BTC/USD Falls as Bitcoin Revisits $30,000 Low

Bitcoin (BTC) Price Prediction – June 12, 2021

About 48 hours ago, Bitcoin bulls failed to sustain above the $38,000 high as Bitcoin revisits $30,000 low. The breaking of the $39,000 resistance is necessary for Bitcoin to rally above $40,000. Once buyers reclaim the $40,000 support, the bullish momentum will extend to $46,000 high.BTC/USD price lacks buyers at higher price levels as the crypto find it difficult to resume upside momentum.

Resistance Levels: $45,000, $46,000, $47,000
Support Levels: $35,000, $34,000, $33,000

blank
BTC/USD – Daily Chart

Following the bulls’ failure to break the $38,000 resistance, the BTC price was fluctuating below the resistance level for three days. Thereafter, Bitcoin slumped above the $35,000 support. On the upside, if the bulls break the $38,000 and $39,000 resistance, BTC’s price will rally above $40,000 high. Incidentally, if the $40,000 resistance is cleared, a rally to the previous highs is possible. Since May 19, Bitcoin bulls have been defending the $35,000 support as the king coin remained stable above the critical support at $34,000. However, if the bears break below the critical support, Bitcoin will fall to the $30,000 support level.

El Salvador’s Bitcoin Adoption May Risk IMF Negotiations: JP Morgan – As Bitcoin Revisits $30,000 Low

El Salvador has adopted Bitcoin (BTC) as a legal currency within the country. JP Morgan has indicated that El Salvador’s decision to adopt Bitcoin as legal tender is of little economic benefit. Earlier on El Salvador’s parliament passed a historic bill to recognize Bitcoin as a legal tender. The “Bitcoin Law” bill was accepted by a majority of 62 out of 84 votes. The JPMorgan client note stated: “As with the dollarization in the early-2000s, this move does not seem motivated by stability concerns, but rather is growth-oriented […] But it is difficult to see any tangible economic benefits associated with adopting Bitcoin as the second form of legal tender, and it may imperil negotiations with the IMF.” Presently, El Salvador is in talks with the International Monetary Fund for a $1 billion funding program. The country is facing a potential $3.2 billion budget deficit in 2021.

blank
BTC/USD – Daily Chart

Presently, Bitcoin is hovering below and above the $35,000 support. A rebound above the current support will catapult the crypto to retest the $39,000 resistance zone. Meanwhile, on April 25 downtrend, a retraced candle body tested the 50% Fibonacci retracement level. The retracement indicates that Bitcoin will fall to level 2.0 Fibonacci extension. From the price action, Bitcoin has retested the Fibonacci extension it is hovering above the $35,000 support.

Looking to buy or trade Bitcoin (BTC) now? Invest at eToro!
75% of retail investor accounts lose money when trading CFDs with this provider

Source

Bitcoin Price Prediction: BTC/USD Price Plummets Below $36,000

Bitcoin Price Prediction: BTC/USD Price Plummets Below $36,000

Bitcoin Price Prediction – June 12

The Bitcoin price is spreading the bearish move to areas just below $35,000 after numerous attempts to hold gains above $37,500.

BTC/USD Long-term Trend: Bearish (Daily Chart)

Key levels:

Resistance Levels: $42,000, $44,000, $46,000

Support Levels: $30,000, $28,000, $26,000

Bitcoin Price Prediction
BTCUSD – Daily Chart

BTC/USD falls below $37,448 as the largest cryptocurrency embarked on a support smashing exercise after failing to hold above $37,000 following a significant breakout in the last few days. Therefore, the bearish control is seen across the market with other major digital assets posting similar losses as they trade below the 9-day and 21-day moving averages.

Bitcoin Price Prediction: Can BTC Price Go Lower?

The Bitcoin price is trading at $38,825 with an intraday loss of 4.05%. The prevailing trend is bearish with expanding volatility. However, the first digital asset is currently consolidating in a bearish flag pattern. Meanwhile, a breakout in this pattern in the direction of the previous trend is expected to continue. In this case, BTC/USD is expected to drop and stay below 9-day and 21-day moving averages and could move towards the critical support levels at $30,000, $28,000, and $26,000.

However, if the Bitcoin price stays above the moving averages; the price could rise to $38,000 vital resistance. Therefore, a further bullish drive could push the price to $42,000, $44,000, and $46,000 resistance levels. The technical indicator Relative Strength Index (14) is moving below 45-level, which shows a possible more bearish momentum may continue to play out.

BTC/USD Medium – Term Trend: Ranging (4H Chart)

At the opening of the market today, the Bitcoin price first went up but dropped slightly within 24 hours, bringing its price from $37,448 to reach around $35,790. Should the price continue to drop below the 9-day and 21-day moving averages, it could reach the nearest support level at $33,000 and below.

blank
BTCUSD – 4 Hour Chart

However, should in case the bulls push the coin above the upper boundary of the channel, the Bitcoin price could reach the potential resistance level of $38,000 and above. Presently, the market may continue to move sideways or experience an uptrend as the Relative Strength Index (14) indicator moves above 45-level.

Looking to buy or trade Bitcoin (BTC) now? Invest at eToro!

75% of retail investor accounts lose money when trading CFDs with this provider

Source

Why Bitcoin Could Slingshot Back To Lows Before Gaining Momentum

Why Bitcoin Could Slingshot Back To Lows Before Gaining Momentum

Bitcoin price is making its best attempt yet to climb back above $40,000 since the big crash in May. Thus far, the phrase “sell in May and go away” has worked like a charm, and it could take longer before buying coins back again is a profitable strategy.

That’s because the top cryptocurrency is struggling to hold above the middle-Bollinger Band, and if it can’t hold, it could result in another retest of the bottom of the band. Another retest could finally push the price per <a class="wpg-linkify wpg-tooltip" title="

Coin

A coin is a unit of digital value. When describing cryptocurrencies, they are built using the bitcoin technology and have no other value unlike tokens which have the potential of software being built with them.

» Read more

” href=”https://www.newsbtc.com/dictionary/coin/” data-wpel-link=”internal”>coin below support, making a clean sweep before a reversal.

Deja Vu: Why A Historic Move Could Be On The Horizon

For anyone who was around the crypto market during 2019, it feels like deja vu. At above $10,000, it wasn’t uncommon to see traders claiming the next stop was $100,000 or more. They were wrong, and Bitcoin crashed.

When it did, and sentiment shifted bearish, the cryptocurrency reversed with the third most profitable day on record. Anyone familiar with the October 2019 “China pump” knows that things can turn around fast, even when they seem at their worst.

Related Reading | Time To Pay Attention: Bitcoin Indicator Behavior Mimics Historic Rally

Indicators are primed in the same way and so is sentiment, and the latest rally following a morning star reversal and dragonfly doji serve up plenty of bullish signals.

Why then, are the Bollinger Bands warning of one more potential collapse – matching the China pump a lot more closely than the current price action.

bitcoin bollinger bands

bitcoin bollinger bands

Could Bitcoin sweep lows one more time? | Source: BTCUSD on TradingView.com

Bitcoin Price Could Slingshot Lower Before A Bounce Back To Highs

The Bollinger Bands created by John Bollinger are a versatile technical analysis tool that measures volatility, highlights support and resistance, and much more. When the bands tighten or squeeze, it is a sign a massive move is coming ahead, and so far the tool is signaling something shocking should soon happen. But when?

Related Reading | Bitcoin Daily Dragonfly Doji Gives Bulls Hope Of Sharp Reversal

Not quite yet, if the middle-Bollinger Band – a simple moving average – is lost as support. During the prelude to the historic China pump, the middle-BB was lost not once but twice.

bitcoin repeat wiWw1sIs

bitcoin repeat wiWw1sIs

Indicators also match the last time Bitcoin got so confusing | Source: BTCUSD on TradingView.com

Bollinger Band Width is at similar lows, but should hang there a while long. BB% could sweep the current low like it did in 2019 before slingshotting back upward.

Finally, the LMACD is also exhibiting a very similar pattern and if another bearish crossover happens, it could be a massive trap like the last time around. But for now, beware of one more sweep of lows before a reversal.

Featured image from Deposit Photos, Charts from TradingView.com

Source

Bitcoin’s 7-Day Charts Flash Green: Are Things Looking Up for BTC?

Bitcoin’s 7-Day Charts Flash Green: Are Things Looking Up for BTC?

Following a significant haircut in May, the price of Bitcoin has been meandering between $30K and $40K for the better part of a month. While some analysts are relieved at the fact that Bitcoin has not crashed through the $30K support line, and, heck, may even be building momentum to move back above $40K, others are not so sure about the future of BTC.

On the other hand, Bitcoin’s 7-day chart appears to have crossed into green territory for the first time in a great while. At press time, BTC’s 24-hour gains were sitting at roughly 2.6 per cent, while the seven-day price chart showed gains of 1.4 per cent.

Some Good News for Bitcoin

Additionally, Bitcoin has seen a bit of positive news in recent weeks that may be bolstering its price after it collapsed in May. On Wednesday, the nation of El Salvador became the first country in the world to adopt bitcoin as legal tender.

Michael Sonnenshein, the Chief Executive of Grayscale Investments, said on CNBC’s ‘ETF Edge’ earlier this week that: “As we think about nation states and central banks exploring digital currencies, we’re not surprised to see places that have historically relied on the dollar or folks who have experienced hyperinflation exploring the potential merits of digital currency.”

“We would not be surprised to see states and central banks beginning to think about adding bitcoin and other crypto to their balance sheet.”

Additionally, the conclusion of the Miami Bitcoin conference seems to have pumped a new bout of enthusiasm into the cryptocurrency industry (though positive COVID test results may be a mitigating factor).

Speaking of the event on the same episode of ‘ETF Edge’, Osprey Funds founder and CEO, Greg King said that: “It feels a lot like 2017 felt but with a broader base. It’s taking the movement forward from where it’s been over the last 12 years.”

Beyond El Salvador and Miami, a group of North American Bitcoin mining companies formally debuted The Bitcoin Mining Council on Thursday with the goal of addressing concerns about the amount of energy used in cryptocurrencies.

“The Bitcoin Mining Council is a voluntary and open forum of Bitcoin miners committed to the network and its core principles,” MicroStrategy Inc. Chief Executive Officer, Michael Saylor, who helped to form the association, wrote on Twitter, with a call to “Join us.”

What Does Bitcoin’s Stock-to-Flow Model Say?

Bitcoin’s stock-to-flow model has hit a rebound level that has not been seen since Bitcoin’s all-time high in 2017, a factor that some investors and market participants could find relieving after a month of price stagnancy.

“It’s a long time since [Bitcoin’s] price has been this far below [the stock-to-flow] line,” wrote Philip Swift, Creator of LookIntoBitcoin, on Twitter. “The Divergence oscillator at [the] bottom of the chart is highlighted by the orange dotted line and arrows to show comparable historical periods…#bitcoin price rebounded hard from such divergence previously (sic).”

A stock-to-flow measures the relationship between the currently available amount of an asset and its production rate. While this model is typically applied to commodities (i.e. precious metals), some analysts have applied it to Bitcoin: the amount of circulating BTC available is measured against the amount of new BTC that are being mined.

How Effective Is Bitcoin’s Stock-to-Flow Model?

The purpose of a stock-to-flow model is to show how much supply of an asset or resource (BTC, in this case) enters the market each year relative to the total supply. According to Binance Academy, “the higher the Stock to Flow ratio, the less new supply enters the market relative to the total supply.” And, therefore, an asset with a higher Stock to Flow ratio has higher scarcity, and should therefore retain value well over the long-term (at least, in theory).

Measuring Bitcoin’s price against stock-to-flow appears to have been originated by a pseudonymous Bitcoin institutional investor who goes by the name PlanB. While Philip Swift optimistically compared what is happening in the stock-to-flow model at this current moment with what happened in 2017, CoinTelegraph reported that even PlanB is nervous about the future of Bitcoin.

According to CoinTelegraph, this model “has been widely praised and is the leading valuation model for bitcoin proponents.” However, some analysts find the model to be fundamentally flawed.

“SF has achieved viral popularity and inspired rags-to-riches dreams for those gambling it all on the future of bitcoin,” CoinDesk reported in June of 2020. “However, we believe the model’s accuracy will likely be about as successful at forecasting bitcoin’s future price as the astrological models of the past were at predicting financial outcomes.”

2013 All Over Again?

However, if the stock-to-flow model is to be trusted, PlanB said on June 1st that while Bitcoin’s latest price movements do have some similarities with 2017, Bitcoin’s latest price movements are much more reminiscent of the year 2013.

“New dot: May close $37,341.. -35% .. we knew bitcoin would not go up in a straight line and several -35% drops are possible (and indeed likely) in a bull market,” he wrote on Twitter, adding that BTC’s movements were “Starting to look like 2013. [Stock to flow] model intact.”

However, while there are some important differences between Bitcoin’s price movement in 2013 and its movements in 2017, both years have something important in common: each of them saw a two-tiered run-up to a new all-time high. According to CoinTelegraph, “The first peak was followed by a significant drawdown in each instance, which then reversed to spawn a run to a new top.”

If history repeats itself a third time, Bitcoin’s second bull run of 2021 will take place later this year, which could lead BTC far beyond its previous all-time high of roughly $60K. In fact, PlanB believes that $100,000 is still in the cards for BTC. The stock-to-flow calls for an average price of either $100,000 or $288,000 between 2021 and 2024.

“Everybody Wanted to Buy #Bitcoin at $60,000, Nobody Wants to Buy Now.”

However, not everyone is so optimistic. Fortune reported this morning that Bookmakers at US-Bookies.com have “raised the odds that Bitcoin drops to $10,000 this year to 8-to-11—a 57.9% implied probability.”

And indeed, BTC investors seem to be fearful that Bitcoin is in for further drops down the line.

BItcoin market analyst, Michaël van de Poppe (@CryptoMichNL) wrote on Twitter that: “Everybody wanted to buy #Bitcoin at $60,000, nobody wants to buy now. Why? People are scared of red candles and expect a further dip.”

However, as BTC loses its grip, altcoins appear to be stepping up to the plate. At the beginning of 2021, BTC’s market dominance was over 70 percent. At press time, that figure had fallen below 44 percent.

Source

TA: Bitcoin Signals Fresh Decline, Why Dips Could Be Limited In BTC

TA: Bitcoin Signals Fresh Decline, Why Dips Could Be Limited In BTC

Bitcoin price extended its upward move above the $37,500 resistance against the US Dollar. BTC failed to clear $38,500 and it is now correcting lower.

  • Bitcoin traded above $38,000, but it failed to continue higher above $38,500.
  • The price is currently well above $35,000 and the 100 hourly simple moving average.
  • There was a break below a key bullish trend line with support near $36,500 on the hourly chart of the BTC/USD pair (data feed from Kraken).
  • The pair could extend its decline, but the bulls are likely to remain active near $35,000.

Bitcoin Price Correcting Gains

Bitcoin settled well above the $35,000 and extended its upward move. BTC even broke the $37,500 resistance, but the bulls failed to gain strength for a break of the $38,500 hurdle.

A high was formed near $38,425 and the price is now moving lower. It broke the $37,000 support level to start the current correction. There was a break below the 23.6% Fib retracement level of the upward wave from the $31,052 swing low to $38,423 high.

Besides, there was a break below a key bullish trend line with support near $36,500 on the hourly chart of the BTC/USD pair. However, the pair is still well above $35,000 and the 100 hourly simple moving average.

Bitcoin Price

Bitcoin Price

Source: BTCUSD on TradingView.com

On the upside, an initial resistance is near the $37,000 level. The first major resistance is near the $37,500 level, above which the price likely to revisit the $38,500 resistance zone in the near term. The main resistance is still near the $40,000 level.

Dips Supported in BTC?

If bitcoin fails to clear the $37,500 resistance, it could extend its decline. An initial support on the downside is near the $36,000 level.

The first major support is near the $35,500 level. The main support is now forming near the $35,000 level and the 100 hourly SMA. It is close to the 50% Fib retracement level of the upward wave from the $31,052 swing low to $38,423 high. A downside break below the $35,000 support zone could push the price back into a bearish zone.

Technical indicators:

Hourly MACD – The MACD is now losing pace in the bullish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now below the 50 level.

Major Support Levels – $36,000, followed by $35,000.

Major Resistance Levels – $37,500, $38,500 and $40,000.

Source

Can Bears Force Michael Saylor To Sell His Bitcoin? Analyst Shared Bullish Theory

Can Bears Force Michael Saylor To Sell His Bitcoin? Analyst Shared Bullish Theory

In May, an alleged “insider” claimed that a group of Bitcoin Whales were trying to get a series of positions liquidated from a big player. Justin Sun, founder of blockchain TRON, and Michael Saylor, CEO of software company MicroStrategy, were the top 2 suspect targets.

The rumor has extended as Saylor announced new BTC purchases and issued more debt for the company to expand its BTC holdings. As it was reported recently, the company will use $1.6 billion obtained via a debt instrument to buy more Bitcoin.

With the cryptocurrency losing over 50% of its value in over a month, many wonder what will happen if the downtrends continue, will MicroStrategy’s position be compromised?

Anonymous analyst “degentrading” tackled this “Saylor Fud” and claims that the executive’s and his company’s situation is “not as dire”. The analyst said:

The latest bond issuance will only be senior secured on the BTC that he plans to accumulate on the proceeds from this issuance. I.E – Even if this 400M bid fails to support the market and there is liquidation – the 92,079 of BTC held will NOT be at risk.

The analyst went more in-depth on MicroStrategy’s capital structure. The company has 2 outstanding bonds to be mature by 2025 and 2027. The former has a 0.75% interest and the other has none, as seen below.

Bitcoin BTC BTCUSDBitcoin BTC BTCUSD
Source: Degentrading (@hodlKRYPTONITE)

Will MicroStrategy Sell Their Bitcoin (BTC)?

The software company must pay around $5 million annually in interest for their debts. As the analyst concluded, MicroStrategy generates around $50 million in net profit per year. In theory, the company can pay for its financial commitments.

This means that from now till 2025 at least, Saylor CANNOT be liquidated as long as he pays the interest on the 0.75% 2025 bond.

Other users claim that Michael Saylor could be forced out of his position as CEO. The company would then be free to sell their Bitcoin, in case of a major drop in the crypto market. With over 90,000 BTC in their treasury, this would create enough selling pressure to push BTC’s price further down.

However, Saylor owns 25% of the business and holds 72% of the shares with 10x voting power, as the analyst discovered: “Saylor CANNOT be forced by anybody to sell”.

“Degentrading” reached three important conclusions. First, the most recent debt acquired by MicroStrategy will not have an effect on their overall Bitcoin holding; the company cannot be liquidated out of its position. Second, the interest rate is too low to put the company at risk.

Finally, Saylor has enough control over the board, due to his high voting power, to keep his post as CEO and hold their BTC.

As the chart below shows, MicroStrategy (MSTR) shares were once valuated at $3,000 during the year 2000. By the end of that year, the company went on to lose 99.6% of its value until their BTC purchase announcement in 2020.

Bitcoin BTC BTCUSDBitcoin BTC BTCUSD
Source: Degentrading (@hodlKRYPTONITE)

For over two decades, as the analyst said, Saylor has held his position. The recent crash in Bitcoin’s price is but “a blip” in the executive’s history with the market.

At the time of writing, BTC trades at $36,553 with gains in the lower timeframes, but heavy losses in the 2 week and 30-day charts.

Bitcoin BTC BTCUSDBitcoin BTC BTCUSD
BTC with bullish momentum in the 24-hour chart Source: BTCUSD Tradingview

Source