Topic: BTC - Drop and Snap (Read 304 times)

It's a challenging scenario that we've got this year, and the bear market wasn't over yet but recovery steps still very hard to correct minimal changes. The excitement of every person had caused a lot of uncertainties against price development, and to those who been expecting much better value has been frustrated due to fluctuations. Volatile market becomes really crucial to everybody and despite of the changing market, lots of long terms holders were patiently waiting for the right time when their asset gains sustainable profit.

BTC bounced just shy of the 23-fib level and will as expected, continue its downward trajectory further. We’ll be keeping our eyes set on a few key levels as we make our descent - we could be in for a bit of turbulence.

As price nears $6,265, this will be a region to watch since we have historically bounced twice from here before. We are expecting price to break through without too much of a fight however and the next stop will likely be close to $6,100 - $6,000.

There may indeed be a bounce at this level as well and we will be looking closely to see how the price action unfolds.  There may be some short-term counter-trend trades which present themselves but we will also be looking for shorting entries as the prevailing bear trend ensues.

#Caveat!

Slowly but surely

BTC has cracked through the second flag albeit with much lower sell volume. On the 1H, we are witnessing a break of the $6,919 resistance line however, this candle is still open so anything could happen.

We are slowly grinding down lower through this shorting zone and It is looking increasingly more likely than not that we will be heading down to lower levels as  mentioned in our previous updates.

Bearish Continuation

BTC is continuing to grind down lower no matter what positive news is thrown our way.

Looking at the 1H chart, we can see another sell off occurring which reaffirms (not that there was much doubt) that the bearish continuation is set to resume.

We’re cracking the second bear flag now and if we breach $6,910, may consider shorting down to the $6,770 level but possibly beyond depending on the play.

These aren’t big moves by any stretch, but it is better to play it safe in times of uncertainty. We will be watching closely at the $6,770 level which is the next major resistance zone.

ICE Bullish on BTC
Intercontinental Exchange, owner of the NYSE, who we wrote about earlier this week, has explained the rationale behind their announcement earlier this week, “Bitcoin has the potential to become the first worldwide currency and we're trying to make that happen” – a quote from Jeffrey Sprecher, founder of the Intercontinental Exchange.

Korean Exchange Bump
Some positive news out of Korea, UpBit has been officially cleared of the fraud which they were investigated for earlier this year. Bithumb has also announced that they will now have fiat on ramps for BTC, ETH, ETC, XRP, LTC, BCH, ZEC, QTUM & MITH. This is a great move in the right direction making it easier for Korean investors to trade between fiat and cryptocurrency.

We are still in a bear cycle, typified by the downward movement in price, even in light of this positive news coming from New York and Korea. However, we view this as a great opportunity to get our hands on some undervalued BTC and Altcoins. Right now we are waiting for the correct time to enter and will be bringing you some TA shortly with potential levels for entry. 

Alert!!

BTC E-Commerce use tumbles
BTC e-commerce use has fallen 85% from $411m last September to a low of $60m in May this year. This rapid decline gives us an interesting look into one of the factors that preceded and followed the bull market run at the end of last year.

Firstly let’s consider some of the factors that would have contributed to this decline. The most prominent being the transaction cost. BTC has been notoriously bad at scaling resulting in absurdly high transaction costs. High transaction costs and transaction cost volatility simply do not make BTC a viable form of currency.

Speaking about volatility, since last September BTC has risen from $4,000 to $20,000 then back down to $7,000 today. Price volatility is also a major problem for vendors as they may charge $50 in BTC for goods on Monday and that amount of BTC could be worth $30 by Wednesday.
Payment companies like Stripe removed BTC payment as an option in January of this year claiming that transactions were too slow and too expensive. This is seemingly a move in response to difficulty experienced by the BTC network during periods of high volume.

This 85% decline is no cause for concern as these issues with the BTC network can and will be solved with innovative scaling solutions, the lightning network is a good start. One noteworthy consideration is the paradigm shift from BTC being a currency to BTC being a store of value.
With this new categorisation of BTC came new innovative cryptocurrency solutions well equipped to handle the scaling issues that BTC could not. Tokens such as Nano or Fantom which are built on DAG network architecture can facilitate hundreds of thousands of transactions per second with no transaction fees. These new high speed and low cost alternatives are still in their infancy however.
E-commerce usage of BTC may have dropped but it has been transferred elsewhere to tokens built for the purpose of acting as a currency. The river will flow through the path of least resistance.

I don't think such indicators mean anything. Recently, I have been seeing a lot of good news, acceptance of BTC in various countries are having a positive impact on the price. Though the price is pretty stable now but if more news of advancement of BTC breaks in it will surely rise up to 15,000$ at least by the end of this year.

Seems like so. I don't think that we're going to see any major price movements in the near future, but I believe that market conditions are still overwhelmingly bearish and probably going to continue to be so for at least a few further months.

Thus, it's very likely that we'll see prices dip below $7k soon, and again test the $6k support - that's just how a bear market goes, constant consolidation until it bottoms, and I don't think that we've yet seen the true bottom.

The bull trap that happened really got a lot of people excited. It's important to realize that just from a pure time frame view, we're not yet near how long it took for the previous bear market to recover. Combine that with the bearish sentiments within the market, unless some major positive news emerges, and I mean, really positive, it's very unlikely that we'll see longlasting rallies this year.

It was all nothing but a sucker rally. I think the price was being manipulated. BTC is slowly going down towards $7,500. If it goes below $7,500 then there is a huge chance that it might touch $7,000 or even go below that. But a quick short term recovery to $8,000 is expectable.

We can definitely see that, after a price roll back well maybe due to some kind of correction over the increase that went ahead the $8000 USD value, I really think we can now see a slight increase now that the price have a seemingly decrease, And yes there might be some effect over the ETF rejection but after that bitcoin is always strong to the fact that it will continue it's way to a bullish movement again, All we need is to wait and be patient about it.

To be honest, I tried to apply the same theory you are trying to explain when BTC broke the 6,000$ and 7000$ resistance. But, sadly it wasn't applicable to that scenario. A lot of news has been having impact on the price of BTC. Recently BTC became stable after the rejection of Winklevoss' ETF. But, there are still more hearings to come which might influence the market to go bullish. I am pretty optimistic that BTC will break the 9,000$ resistance soon.

I doubt that we can even break 5 digits in the next few weeks. But at the current price, yes, its a good buying point. But don't expect a sudden jump on the price because price manipulation is very strong and I strongly believed that the bearish sentiments is not over, probably the bears will continue to dominate as long as they can unless bulls wrestle the market from them. $8K will be a struggle again.

Its good that its snapped aroun 7400$. This is a good level to re enter to train.
Bitcoin will hit over 13000$ in few weeks and also there are few ore coin which are going to rise too.

Bitcoin after price pumping it will dump again after 1 weeks of experiencing pumping the price. But I still believe on the bitcoin any issue or any dumping price happen this year they will recover because they have many investor will invest again.

Yeah, you are very true. It seems that price manipulation is on its finest. The bears are still strong and could possibly retest the all time lows of bitcoin this year. As per my opinion, institutional investors wants to enter in crypto space.

BTC

BTC is currently on a slow grind up within the current consolidation zone between $7,500 and $7,250.

We’re currently printing higher lows as we march towards the 0.236 fib level but it would not surprise us to see a bearish retreat and retest of $7,265 level as we could potentially be in a bear flag pattern. 

We would view any break and close below $7,200 as a shorting opportunity to around the $6,860 level.

On the other hand, if we witness some convincing buy volume at the $7,200 mark, we would consider going long with targets as high as $7,800 but more conservatively, would look at possibly exiting at $7740 or even $7,520 depending on the bullish momentum.

it is strange that news like this doesn't have the effects that they should technically have on the price these days. if this was any other time, something like this could at least trigger a 10% rise and price would have gone up to $8000 but for some reason it seems like there is some sell pressure in the market which is preventing the rise from happening!

OWNER OF THE NYSE TO BEGIN BTC TRADING

Intercontinental Exchange (ICE), owner of the NYSE has announced that it will list a physically settled BTC contract.

ICE had previously hinted that they were exploring BTC trading in New York but nothing was clear cut.

Their new BTC platform named Bakkt has been in development partnered with the likes of Microsoft and Starbucks.

This story is still breaking but it should be seen as good news, allowing more money to flow into cryptocurrency.

There is no telling what effect this news will have as it may well already be baked into the price.
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i wouldn't call this a "Bearish sentiment" just because price didn't go to the moon because it is not dropping either. it is above $7k while it was below it before this rise happened. but i agree that everyone seems to be waiting for the SEC decision about ETF so that they can decide which way the market is going to go and go with it.
the only problem that i see is the fact that SEC is delaying ETF and pushing it back so this trend may continue for a while!

Bearish sentiment is now looming over the market after several delays on the ETFs were imposed. My take, people will not actively speculatte until the decision date is closer. Suddenly, the price steam has waned and is now slowly dying. $7400 has been a struggle today and yesterday. After the descend from $8000, prices appear to not have any strong grip on whatever level they may be, suggesting that the bulls are retreating and waiting for another hype opportunity to produce momentum.