Today is Wednesday, September 15th, and this is Cointribune’s Crypto analytics. You will learn about everything that’s been going in the market, and also what to expect next in our new article! If you’d like to read the previous analytics, please follow the link. So, here we go!
The growth of Bitcoin, which started on Tuesday, continues. It seems like the first cryptocurrency has ended its consolidation phase and is now ready to make a return into the $50,000 range.
At the time of writing, the price of BTC is $47,200, and it looks like it’s not going to stop there.
Most likely, the BTC price will keep away from the lower border of the triangle since such a decrease could negatively affect sentiment and even force many players out of the market. Currently, the flagship coin is at the resistance level defined by the triangle and is preparing to break higher.
Even despite the large market dump on 7th September and the Walmart/Litecoin hearsay on 13th September, Bitcoin has recovered from all the blows and is now trying to make up for the damage it had taken. At this rate, greed will return to the market very soon, and along with it, a new local (or even global) price maximum will likely be set.
There is no growth without corrections. So you shouldn’t view a mere drop in price as the beginning of the coin’s imminent downfall. Even bulls need to take profits. The idea is that when the price goes lower, you can buy even more assets with the money earned to keep them until the growth dynamics allows you to count on the best.
Locally, Bitcoin is still trying to break through significant resistance. And there will be problems on its way from $47,000 to $52,000. On the other hand, the recent dumps have driven many shorters to open deals, and the liquidation of their positions will also bode well on the dynamics of BTC.
In case of a lack of strength on the bulls part, the first cryptocurrency is likely to face more pullbacks. However, in the big picture, they won’t be significant. The most plausible scenario here is one in which BTC will repeat its steady climb above $50,000. Thus, we’d be looking at a lengthy struggle until BTC finally gets to the key price level.
Difficulties can be avoided with an influx of new volumes. If their size is sufficient to drive the bears to liquidate their positions, then Bitcoin will regain its strength very quickly and reach its last absolute price maximum.
It is also worth noting that the recent purchase of BTC by Michael Saylor and MicroStrategy did not affect the market at all. At the same time, the Litecoin debacle only lasted an hour or so after the initial announcement. All the above suggests that the market is waiting for a fresh wave of news to give it a little shake-up, as it once was with the news about Tesla accepting Bitcoin.
Small stories at this stage do not affect the market in any way. Everyone already knows that Saylor buys Bitcoin whenever possible. Apparently, it’s only big guy news that really counts at this point, but so far, we have yet to hear anything crypto-related from big guys themselves.
It was so much simpler back in 2017. People were so hyped by the growth of BTC that they reacted even to the most far-fetched headlines. Because of that, the price of the flagship coin would shift by thousands of dollars in either direction within the span of one hour, which, of course, caused some issues, but in general, contributed to building a lucrative trading environment.
In the big picture, the situation has not changed for Bitcoin. We are still in accumulation, and in case there is a drop, you can take advantage of it. The first key support region is at $40,000, which is also an important psychological level. The next one is $35,000, which acts as a support within the triangle pattern. The next stop on the potential move down is the area around the $30,000 mark, which is the upper border of the expanding descending trading channel (yellow). And the last one is $20,000, acting as the lower border of the downward purple trading range.
At the time of writing, Bitcoin is changing hands at $47,200, which is still in line with the global bullish picture.
We are still operating within a triangle whose key element is the “bullish wedge”. Consolidation (accumulation) is an invariable factor in this pattern, which we can also observe on higher time frames. Visually, it looks like a series of green and red candles on the chart, forming towards the upper and lower walls of a narrowing trading range. Instead of two parallel lines, we have two walls (same lines) moving in the same direction, but showing a clear tendency of convergence. We can only talk about a global trend change and worry about a market dump after the first cryptocurrency leaves the $30,000 range.
Keep in mind that cryptocurrencies are a very manipulable market. If you want to make money on price changes, you must be ready to pick up those manipulations and adapt to them.
We do not recommend margin trading, since, in case of an error, you’d be paying with your entire deposit. However, in terms of spot trading, in order to seriously increase your chances of success, you should gain positions when everyone else is losing hope and selling. At the same time, choose the moment to fix the profit, when the others are euphorically buying everything up at any price.
The second-largest cryptocurrency continues to move within the white trading channel. ETH is forming a new accumulation, the same kind as what we saw shortly before the recent price surge chart. It doesn’t seem like Ethereum is willing to go down in the long term. However, ultimately, it all depends on the behavior of Bitcoin. So when trading ETH, first of all, you need to focus on the fluctuations of BTC.
At the time of writing, ETH is trading at $3400, and it’s a good chance to top up your portfolio with this asset.
Of course, buying Ethereum at $80, which is how much it cost at the peak of the last crypto winter, would sound a lot more appealing. However, there are no indicators of that sort of discount on the world’s second-largest cryptocurrency coming anytime soon.
Having barely touched the critical zone of fear, market sentiment quickly swung back to neutral, which points to an increase in greed across the market. Unless we get another fake announcement, the index indicator will likely approach the “extreme greed” zone, and retail players will start buying up crypto for whatever price.
Some say that being an investor/trader is easy. Like it’s just about buying assets cheap and then selling them when they grow more expensive. However, as practice shows, few players on the market understand where this “cheap” and “expensive” begins. The icing on the cake is the ubiquitous fear of lost profits that makes even the most persistent of crypto enthusiasts dump their trading strategies and just blindly hit “Buy” or “Sell”.
The market isn’t just about news and charts, it’s also about psychology. It’s important to understand the motives of those around you and control your own desire to become a one-deal millionaire. In 99.9% of cases, giving in to that desire leads to bitter losses.
Slow and steady wins it.
Top cryptocurrencies by CoinMarketCap continue to mirror the positive dynamics of Bitcoin. The only exceptions are Cardano (ADA), which, even despite the Alonzo hard fork, never really added in price, and Solana (SOL), whose price is on a downtrend despite the market recovery and the increased in the asset interest from institutional investors. It seems that the drop in volumes in the NFT segment is heavily affecting the potential of this ambitious altcoin. And if the hype around non-fungible tokens is all that the SOL creators ever hoped for, then very soon we’ll see the coin leave the TOP 10. However, Solana had been growing steadily for quite a while, so we’ll cut it some slack for the prolonged correction. Let’s see what will happen with this coin next.
Hedera Hashgraph (HBAR) becomes the gainer of the day. So far today, this asset has brought its holders about 25% of daily and almost 90% of the weekly profit.
The coin is moving within an upward channel, the upper border of which has recently reached. Probably the beginning of a correction.
The title “loser of the day” goes to Cosmos (ATOM). Over twenty-four hours, this altcoin has dropped by more than 10%. And it doesn’t seem like the fall will end anytime soon.
Bitcoin is still trying to recover, and its movements are mirrored by Ethereum and other altcoins. Nobody knows how exactly it will turn out. However, that doesn’t disrupt the overall trading climate. Observe risk management and do not neglect stop losses. Only then can you make successful trades and reduce your chances of getting losses to a minimum.
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The views, thoughts, and opinions expressed in this article belong solely to the author, and should not be taken as investment advice. Do your own research before taking any investment decisions.
|BITCOIN (BTCUSD) ₿||$30,495.94||2.22%|
|ETHEREUM (ETHUSD) Ξ||$2,088.45||3.35%|
|IMM. US (REIT)||$2,499.34||-0.58%|
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