Bitcoin (BTC) Reviews - Page 12

analytical software provider MicroStrategy Inc. announced a $400 million convertible bond offering maturing in 2028. The company will use the funds raised from the placement to buy bitcoins. According to Bitcoin Treasuries, MicroStrategy currently owns 92,079 BTC worth more than $3.37 billion.. And if you study the history of its crypto assets’ replenishment, it becomes obvious that the company is moving towards averaging its position in the market. And this happens due to borrowed funds. Averaging is considered a rather risky investment method. For those who don't know, we'll explain in a simple example. Averaging is when you buy 3 BTC: the first one for $5,000, then you buy the second one for $20,000, and the third one for $35,000. The average price of 1 coin in this case will be equal to $20,000 ($ 60,000/3). And if quotes fall below this level, you will be at a loss. This is why some experts believe MicroStrategy has embarked on a "journey on thin ice." At the time of writing the forecast, the BTC/USD pair is in the $37,000 zone. The Crypto Fear & Greed Index, as well as the coin itself, demonstrates "consolidation": it was equal to 21 points on May 28, 27 on June 04, and again 21 points on June 11, which corresponds to the average Fear indicator. Among the 10,332 existing cryptocurrencies, bitcoin, despite its decline in its share in the total crypto market capitalization, still leads by a huge margin. Its dominance index is 44.03% at the moment. The capitalization of the entire digital currency market fell from $1.663 trillion to $1.585 trillion over the week.

Bitcoin is worth $ 38,313 on Binance (+ 2.40%). If the week closes at about $ 37 thousand, then a "hammer or pinbar" will form on the weekly TF. There is an opinion that the price will stall around $ 39 thousand. The technical picture has noticeably improved after yesterday's trading. To consolidate the result, you need to fix above $ 40 thousand.

Many factors are now not in favor of bitcoin, because to maintain the price growth, a constant influx of new buyers is needed. Failure to show gains above $ 60K triggered a cautious attitude at first, and then an increasingly large-scale profit-taking. Now the fight will go for $ 30K, and if the first cryptocurrency does not resist, a panic sale may await us ahead, the lows of which may be near the lower border of $ 20,000.

Bitcoin is recovering, adding more than 8% since the beginning of the day and again rising above $ 36,000. The rebound occurred after the first cryptocurrency held on Tuesday above an important support level by $ 31,000. Bitcoin is appreciating amid high network activity. The average daily number of transactions on the blockchain, according to BitinfoCharts, today has grown to 238,699.

Bitcoin stays below the 200-day simple moving average for 17 consecutive days. This metric has always indicated the end of a bull market and the beginning of a bear market. If in the near future bitcoin does not begin to attract active demand from buyers, then the fight will go for $ 30K with a probable attempt by the bears to sink the coin even lower with potential targets of $ 23,000.

Bitcoin fell on Tuesday to $ 31,000, having lost over the past day with a little more than $ 5,000 (about 15%). At such levels, the first cryptocurrency traded three weeks ago, during a short-term decline below $ 30,000. Bitcoin's long inability to develop a growth momentum above $ 40K every day pushes an increasing number of investors towards a wait-and-see position, or even profit-taking. New buyers are in no hurry to enter the market, realizing that the risks of investing at the current stage are high, seeing the uncertainty with the regulation and the fall of cryptocurrencies in the past month.

Bitcoin fell 6.27% to $ 33,552. On Tuesday trading in Asia, the price dropped to $ 32,123. The price went down from the triangle formation. The bitcoin rate dropped to $ 32123. The decline has slowed down, although the situation for buyers remains deplorable. According to bybt.com, during the fall, longs worth more than $ 400 million were liquidated. There is no one to take out. Buyers are in no hurry to buy bitcoin, as they are afraid of a fall in the rate below $ 30 thousand.According to average estimates, sellers plan to go for $ 20 thousand.The average between $ 20 thousand and $ 30 thousand is 25 thousand. The market is low-liquid, so do not be surprised if the price per day will pass 25% (just up to $ 25 thousand). To relieve stress on the crypto market, the price needs to close above $ 36,600 for a pinbar (a candlestick with the length of the lower shadow) to form.

Bitcoin has been trying to recover for 19 days after the price collapse to $ 30 thousand. The price revolves around the $ 37 thousand level in anticipation of a new portion of news, which will push the price out of the triangular formation. The price range is narrowing every day. Buyers are nervous because they could not pass the level of $ 40 thousand earlier. Now they are afraid of another collapse. There are a couple of days to correct the situation and go through $ 40 thousand, otherwise sellers will drop the rate below $ 30 thousand.

After the collapse to $ 30 thousand, the market is low-liquid, so the price can go in any direction. Sellers also cannot continue the downward movement, although they are more likely to succeed than buyers. When the price returns to the $ 38,900 level, buyers will pass the $ 40,000 level with an 80% probability. In this case, they will have a time window for the price to return to the $ 48 thousand mark, and then according to the situation. Consolidation below $ 37,800 for two days (until June 9, 10:00 UTC) will become a bearish signal. With low activity of buyers, the risks remain to go to the level of $ 25.5 thousand.

Over the past week, Bitcoin added 0.44% to close at $ 35796. The price for 19 days is consolidating in a range that narrows daily and begins to irritate buyers. They tried several times to pass the psychologically important level of $ 40 thousand, but all attempts failed due to the lack of volume and information background for recovery. The price range decreased from 42% to 9.8%. At 10:00 UTC, the range limits are $ 35273–38654. The market is ready for the price exit from the triangular formation that has been forming since May 19. Over the weekend, buyers held their defenses at $ 35,000. Bitcoin is worth $ 36,495 on Binance. They lack more activity and a tailwind to temporarily reverse the situation and gain a foothold above $ 40,000.

The growth of the BTC/USD pair is also predicted by analysts of the American company Fundstrat. They came to this conclusion after studying the patterns on the chart of the first cryptocurrency rate. According to them, despite the fall in May, the bitcoin rate may return to the $50,000 mark in the near future. At the same time, it should be recalled that the co-founder of Fundstrat Tom Lee said earlier that the BTC rate could exceed the level of $100,000 this year, and the ethereum rate - $10,000.

According to Yahoo Finance, the strategist of the JPMorgan financial holding Nikolaos Panigirtzoglou did not rule out a further decrease in the price of the first cryptocurrency. We stated previously, he says, that the failure of bitcoin to break the $60,000 barrier will automatically lead to bearish momentum and further exits. According to the expert, the market crash in May has greatly weakened institutional demand, which is why the price of BTC cannot recover to its former levels. In the medium-term perspective, Panigirtzoglou is confident that the fundamentally justified value of bitcoin is in the range of $24,000- $36,000.“There is no doubt that the recent boom-and-bust dynamics is a barrier to institutional adoption of cryptocurrencies,” explains the JPMorgan strategist. "The rise in volatility, especially in relation to gold, presents a barrier for large investors, and makes digital gold less attractive than traditional gold."

Indeed, the crypto market has become more global, not only small traders and investors are involved in it now, but the world's largest banks, investment funds and payment systems. And bitcoin itself was created in order to bypass various prohibitions and barriers. So, for example, Chinese traders and miners can transfer their activity to another jurisdiction. And it remains to be seen whether China itself will benefit from this. In general, we will wait and see. In the meantime, as already mentioned, the main cryptocurrency is consolidating in the $36,000-37,000 zone. The Crypto Fear & Greed Index calmed down as well, rising by only 6 points in a week, from 21 to 27. But the Dominance Index went down smoothly again, dropping from 43.11% to 41.7% of the total crypto market capitalization, which was $1.663 trillion as of the evening of June 04.

Bitcoin skyrocketed to its highest point of $64,595 per BTC On April 14. On that day, June futures showed an even higher price, $66,450. And then came May. Thanks to the efforts of Elon Musk and Chinese regulators, bitcoin has lost half of its value, and spent the last two and a half weeks on consolidation in the area of $36,000-37,000. Usually, such a consolidation is followed by an impressive leap forward. But in which direction: to the north or to the south? Everything that is happening suggests that it makes no sense to make forecasts based on technical analysis here. Even guessing by stars or coffee grounds can lead to more accurate results. The market is ruled by COVID-19, regulators and influencers.

On Thursday, at trading in Asia, the bitcoin rate jumped to $ 39,039. There is no news behind the growth. The current rate is $ 38793. The BTC / USD pair is trading in a triangle formation range. For 102 hours (4 days, 6 hours), the rate corrected by 76.4% to the fall, from $ 40,841 to $ 33,379. The growth time took 16% longer than the fall lasted (88 hours). It should be the other way around. Buyers' activity in the market remains low. For a confident recovery, buyers need to break protective stops on short positions placed above $ 40,000. If sellers defend the $ 39079-39751 zone, then buyers will have to strengthen their positions in order to defend the $ 37200-37500 support zone. It is now a support for them to regroup, as they are close to exiting the triangular formation. It is alarming that the price is going up without volume. Against this background, an attempt to break through the $ 40 thousand may fail. If sellers do not defend the $ 40,000 level, then in this case, you can look at the $ 46,000 level (50% of the fall from $ 64,854 to $ 30,000).

Now the conditions are really being created for a radical change in the course of trading. The fact that Bitcoin has held above $ 30,000 signals that the chances of resuming growth are now greater than continuing to fall. A further fall in BTC is not excluded. He also drew attention to a sharp decline in the interest of institutional investors in bitcoin due to the growth of its volatility. The strong collapse of the first cryptocurrency in May does not allow it to quickly recover from losses and resume the rally. The fundamentally sound value of bitcoin is in the $ 24,000- $ 36,000 range.

Bitcoin continues to trade sideways between $ 33,000 and $ 38,000 after the third largest monthly decline in history. Fundstrat analysts expect bitcoin to quickly return to $ 50,000. However, the JPMorgan bank believes that BTC has not yet bottomed out and will continue to fall in price. Fundstrat analysts are still very optimistic. According to their forecasts, in the very near future, BTC will be able to return to the $ 50,000 area, coinspot writes. This can happen if the "inverted head and shoulders" pattern is triggered, but for this, Bitcoin must break up the "neck" line of about $ 40,000.

Bitcoin ended one of the worst months in history, losing 35.5% in May. This is the third percentage decline in price in history. Only November 2018 (-37%) and September 2011 (-40%) were the worst. According to analysts at Glassnode, the decline was driven by panic selling by newly joined investors who bought the coins in a bullish phase in the first quarter. Long-term and large holders, on the contrary, were building up their positions. Thus, the volume of coins in clusters of addresses containing from 1000 BTC increased by more than 25,000 BTC to 4.149 million.

Analysts at Chainalysis draw attention to the surge in activity last week by large investors or so-called "crypto-whales". They purchased 77,000 BTC in a week. The largest surge in investor buying activity was observed on May 23, when Bitcoin fell below $ 30,000 in the short term. At the same time, the largest losses were incurred by those players who recently entered the market. 1.2 million BTC were sold at a loss of 5% to 25%. The market has entered a protracted phase of consolidation, and the range of $ 33,000 - $ 40,000 may remain until the end of the summer, some experts are sure. Others believe that Bitcoin will return to the $ 50,000 mark by early fall, and may reach $ 100,000 by the end of the year.

Over the week, bitcoin has risen in price by 2.85%, to 35641, on Sunday - by 2.99%. Market volatility is decreasing. The trading range of $ 30,000–42451 narrowed to $ 33,550–39,200. If the upper border of the range is broken, the road will open to the buyers to the level of $ 46000, if the lower border is broken - to $ 25800. At the time of this writing, Bitcoin costs $ 36,500. The price has been consolidating since May 19 and revolving around the $ 36,500 level near the balance line (sma55). The situation remains uncertain. Investors are digesting negative statements from central bankers about bitcoin. The probability of going both up and down is 50%.