Home Bitcoin News Bitcoin Scam Bitcoin (BTC) Over-Extended, Will It Pull Back To $3,500—800 Zone? – Ethereum World News

Bitcoin (BTC) Over-Extended, Will It Pull Back To $3,500—800 Zone? – Ethereum World News

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In one way or another, Bitcoin is now stable. And it wasn’t always calm waters and thanks to its whipsaws, analysts as well as traditional market influencers found new terms describing the world’s most valuable crypto asset. Jamie Dimon called it a scam before his corporation ironically launched the first ever inter-bank settlement private token, the JPM Coin.

Read: Bitcoin Won’t Be $3,000 Cheap
Again, Crypto To Trend Higher In April

However, it is Charlie Munger, the vice chair of Berkshire Hathaway–whose head, Warren Buffet, is against the idea of crypto, that stole the show after calling it rat poison. Weeks later, Warren Buffet said Bitcoin was Rat Poison squared. Whether Bitcoin is a scam, a fraud, a Ponzi or rat poison, enthusiasts and builders are undeterred.

For true believers eyeing the overall prize, it’s all about
adoption which is encouragingly gathering pace and gaining traction especially
after the launch of the experimental Lightning Network whose capacity
now exceeds 1,000 BTC
processing more than $4 million as a result. It
has been a year or so after roll out but the benefits are beginning to permeate.

Also Read: Here’s why The Bitcoin
Lightning Network Capacity Exceeds $4.2 million

More merchants are now accepting cheap, LN payments while
those in Twitter can receive instantaneous tips via Bitcoin LN after Jack
Dorsey endorsed Tippin.me.

BTC/USD Price Analysis

After a stellar week, Bitcoin prices are up but stable in
the last day. Prices are up 1.6 percent from last week’s close but likely to
add more in days ahead.

From a top down approach, sellers have the upper hand and
the situation has been made worse by the failure of buyers to completely
reverse Feb 24 draw downs.

As it is a bear bar, wide ranging and supported by above average volumes, bulls will be effectively in charge if prices close above Feb 23 highs as laid out in previous BTC/USD price analysis.

Bitcoin

Trend and Candlestick Arrangement: Bullish in short-term Within a Minor Breakout
Pattern

In the short-term, Bitcoin prices are held within a $1,300
consolidation with resistance levels at $4,500 or Dec 2018 highs and supports
at $3,200. Those are 2018 lows from where prices found support and rode higher.
Regardless, it appears as if Bitcoin (BTC) bulls have a temporary advantage
over bears and trading within a bullish breakout pattern with supports at
$3,800.

Going forward, we shall borrow cues from our previous BTC/USD trade plan while expecting gains above $4,500 now that prices appear to be banding along the upper BB albeit with low participation levels. All the same and as emphasized before, every low should be a loading opportunity and the only time this position will be null is when prices dip below $3,800 cancelling projections based on the double bar bull reversal pattern of Mar4-5.

Volumes: Bearish

Despite our optimism and expectations of price revival, our
anchor bar is based on Feb 24. It is bearish and fueling this liquidation are
high volumes at 36k versus 19k average. Since the past three weeks prices are trading
within this bar’s high low, it means sellers have the upper hand unless of
course there is a spike in prices driving prices above $4,500 complete with
high transaction levels exceeding 40k. it is only through this route that bulls
of Feb 18—37k versus 12k would be in charge as prices edge closer to $4,500.

All charts courtesy of Trading View—BitFinex

This is not investment advice. Do your own research.

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