Is Bitcoin Preparing For The Next Plunge?

Is Bitcoin Preparing for Another Drop?

The price of Bitcoin

Bitcoin

Bitcoin is the world’s first largest and largest digital currency launched in 2009 by the entity Satoshi Nakamoto. Being a digital currency, a distinctive feature of Bitcoin is that it works without a central bank or single administrator. Rather, Bitcoin on the other hand can be sent via peer-to-peer (P2P) network, which in turn is absent from any intermediary. Instead of being a physical currency, Bitcoins represent pieces of digital code that can be sent and received through a kind of accounting network called a blockchain. Since Bitcoins are not issued or supported by any government or central bank, it is considered legal tender. Transactions on the Bitcoin network are confirmed by a network of computers (or nodes) that solve a series of complex equations. This process is called Bitcoin mining. In exchange for mining Bitcoin, computers receive rewards in the form of new Bitcoins. Over time, mining becomes more and more difficult, leading to subsequent rewards becoming smaller and smaller. Given the structure of the code, only 21 million Bitcoins will exist. However, in 2020 there were already 18.3 million Bitcoins in circulation. Bitcoin Making History Since its launch in 2009, Bitcoin has remained the most popular and largest cryptocurrency in terms of market capitalization in the world. Its popularity has also significantly contributed to the release of thousands of other cryptocurrencies, which are now known as altcoins. At first, the cryptocurrency market was originally hegemonic, although the landscape currently contains countless altcoins. Bitcoin has also been controversial since its original launch. It has been heavily criticized for its use in illegal transactions and money laundering given its decentralized nature. Since Bitcoin is impossible to trace, this makes the cryptocurrency an ideal target for illicit behavior. Critics also point to its high electricity consumption for mining, rampant price volatility, and trade theft. Bitcoin has been viewed by some as a speculative bubble given its lack of oversight.

Bitcoin is the world’s first largest and largest digital currency launched in 2009 by the entity Satoshi Nakamoto. Being a digital currency, a distinctive feature of Bitcoin is that it works without a central bank or single administrator. Rather, Bitcoin on the other hand can be sent via peer-to-peer (P2P) network, which in turn is absent from any intermediary. Instead of being a physical currency, Bitcoins represent pieces of digital code that can be sent and received through a kind of accounting network called a blockchain. Since Bitcoins are not issued or supported by any government or central bank, it is considered legal tender. Transactions on the Bitcoin network are confirmed by a network of computers (or nodes) that solve a series of complex equations. This process is called Bitcoin mining. In exchange for mining Bitcoin, computers receive rewards in the form of new Bitcoins. Over time, mining becomes more and more difficult, leading to subsequent rewards becoming smaller and smaller. Given the structure of the code, only 21 million Bitcoins will exist. However, in 2020 there were already 18.3 million Bitcoins in circulation. Bitcoin Making History Since its launch in 2009, Bitcoin has remained the most popular and largest cryptocurrency in terms of market capitalization in the world. Its popularity has also significantly contributed to the release of thousands of other cryptocurrencies, which are now known as altcoins. At first, the cryptocurrency market was originally hegemonic, although the landscape currently contains countless altcoins. Bitcoin has also been controversial since its original launch. It has been heavily criticized for its use in illegal transactions and money laundering given its decentralized nature. Since Bitcoin is impossible to trace, this makes the cryptocurrency an ideal target for illicit behavior. Critics also point to its high electricity consumption for mining, rampant price volatility, and trade theft. Bitcoin has been viewed by some as a speculative bubble given its lack of oversight.
Read this term it recently saw two rapid falls of $ 14,000, one in May and one in June. The declines were rapid. The market price consolidated after the moves.

Since June 19, the price has consolidated between $ 17592 and $ 25400. More recently, the price has risen to test a downward sloping trend line. The move moved above the 100-day falling moving average (blue line on the chart above) but failed to sustain momentum (the trend line blocked the rally instead). Buyers had a chance to break out of the 100-day moving average. They failed thanks to the trend line.

The digital currency is back to its June low of $ 17592. This week’s low came within $ 1000 of the low.

My question is “Do we have another race to the bottom?”

Given the consolidation, the market could be ready from 19 June. As also mentioned, buyers had a chance to bring the price above the 100-day moving average, but found sellers available on the trend line. bearish.

Should the price go down, all bets would be void if the price goes above the 100 day moving average at $ 21268. This is also close to the trend line. With the price at $ 18,664, the risk is quite high up to $ 21,268.

Is there a closer level of risk?

Piercing the hourly chart below, the highs of the last few days moved above the 200-hour moving average on Sept. 21, but failed. Once again the buyers got their shot and missed it. Subsequent highs on September 22 and today found sellers closer to that MA line.

As a result, the MA would be a risk level closer to $ 19379. Staying below is more bearish. Move up is more bullish (stop). This is the risk.

A lower short-term stop could be $ 19084, where the 100-hour moving average is located. Today, the price has moved below that moving average and remained below. This is also bearish and could be a closer risk definition level for traders looking for a quick opportunity.

Sure, those stopped may be triggered by a bitcoin sneeze, but the idea is “it’s time”. The price action is talking to me.

Bitcoin below the 200 and 100 hour MA. Close the risk levels now

Hey … bitcoin isn’t the easiest to trade, but technicians are technical whether you look at Bitcoin, Microsoft, oil or GBPUSD. The chart looks bearish to me with a definite risk against the hourly or daily MA / trendline. The reward for breaking a new 2022 low could see the pair move towards the $ 11,000 area if the pair takes another lead.

Time will tell, but this is what the graphs tell me.

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