Bitcoin has suffered heavy losses in recent weeks. Worse, its value has been cut in half by the middle of 2019!
Find out why the current downturn could hint at the future upturn and mark the end of a possible very nice shopping window.
Warning : This article does not constitute advice or an incentive to invest. Educate yourself, educate yourself and make informed decisions, remembering that investing in crypto assets is highly risky. If in doubt, take a look at the article which will introduce you to the “13 rules for boosting your wealth in Bitcoin”.
2019, the ups and downs of Bitcoin
Funny year for Bitcoin (BTC) than the one that is ending before our eyes.
In addition to major events, which we will come back to in detail in a few weeks at the time of the review (advances in Lightning Network at the launch of Bakkt going through the institutional battle order), we will agree that in terms of its value and its course, “digital gold” gave us some roller coasters!
If you have to remember where the queen of cryptocurrencies comes from (the area of 3000 dollars at the very beginning of 2019), difficult to suppress a nervous tic of the eyelid by comparing the current price (around $ 6,500 at the time of writing) with ATH (highest point of the course) of the year: $ 13,880 reached on June 26.
In other words and in all its naked brutality: Bitcoin lost 50% of its value in 5 months (even if, and I’m speaking to lovers of half-full glasses, Bitcoin is always in a comfortable X2 reported at his start of the year course).
This being, there are a few reasons to be optimistic for the times to come, a break (or even a rebound) being possible in the coming days.
And it’s not me saying it, but the relative strength index (RSI, “Relative strength index”) over 14 days which shows overselling conditions, clearly visible below.
The RSI is currently at 20, its lowest level since September 26. In other words, the market seems to have reached its biggest overselling point in the last two months.
Reading below 30 on the RSI does not imply that a bullish reversal is underway, but rather that we are facing an extreme of short-term prices – this indicator is most often followed by a temporary break or a minor rebound.
Technical analysis, a corrective rebound at $ 7,000 could thus be in sight and will likely be followed by short-term consolidation around this level. Acceptance less than $ 6,500 would expose to a leak towards the $ 6,000 – a level that did act as strong support in the second half of 2018.
13,000 USD – 5,000 USD – 13,000 USD, towards a tilting market movement?
Reported by CoinDesk, the words of George McDonaugh, managing director and co-founder of the listed company KR1 want to be reassuring. In addition to believing that Bitcoin’s real appreciation is only in its infancy, he explains:
“We have basically gone from $ 5,000 to $ 13,500 in 3 months and now, like swinging a pendulum, the market wants to know where the low point is. In my opinion, we are in the early stages of a bull market, you will see that the floor this time will be much higher than $ 5,000. We will find higher lows before we reach unmatched heights “
Have we arrived at the authentic “capitulation point”, the classic symptoms of which are the discouragement of the less solid traders and the anxiety of the holders? If that was the case, and if you were one of those who are indifferent to the value of Bitcoin, until it has reached its full potential (100,000?, 250,000 ?, beyond?), the current atmosphere paradoxically has reasons to make you smile.
Nice to meet you, it’s Hellmouth! Editor-in-chief of Bitcoin, the crypto media you are honoring to survey right now (well done, you have taste).
Crypto-enthusiast of the second hour, nothing is more important to me than supporting the global adoption and democratization of the treasures that the blockchain offers us.
I write articles between two cocktails in Tahiti, my adopted island, and do not hesitate, if the opportunity arises, to feast on a plump scam or a little too enterprising Ponzi pyramid.
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