Bitcoin Topside Bias Vulnerable If It Continues To Struggle Below $11K

Bitcoin price is stuck in a broad range below the $11,000 resistance against the US Dollar. BTC is likely to decline sharply if it continues to fail near $10,800 and $11,000.

  • Bitcoin is struggling to gain bullish momentum and it is well below the $11,000 resistance.
  • The price is approaching the 100 hourly simple moving average and the $10,750 support.
  • There is a major contracting triangle forming with resistance near $10,850 on the hourly chart of the BTC/USD pair (data feed from Kraken).
  • The pair could either surge above $10,850 or it might start a fresh decline towards $10,200.

Bitcoin Price is Stuck in a Range

After a sharp bearish reaction from the $10,950 zone, bitcoin price found support near the $10,650 level against the US Dollar. The bears made a couple of attempts to clear the $10,650 support, but they failed.

The recent low was formed near $10,647 before the price recovered above $10,750. The price traded as high as $10,860 and it is currently correcting lower. There was a break below the 23.6% Fib retracement level of the recent rise from the $10,647 low to $10,860 high.

Bitcoin is now approaching the 100 hourly simple moving average and the $10,750 support. It is close to the 50% Fib retracement level of the recent rise from the $10,647 low to $10,860 high.

Bitcoin Price

Bitcoin price trades below $10,800. Source: TradingView.com

It seems like there is a major contracting triangle forming with resistance near $10,850 on the hourly chart of the BTC/USD pair. To start a strong increase, the price must clear the triangle resistance and then the $10,950 zone.

The main hurdle is still near the $11,000 resistance, above which there are real chances of a sustained upward move towards the $11,500 and $11,600 levels in the near term.

Downsides Break in BTC?

If bitcoin fails to climb above the $10,800 and $10,850 resistance levels, there is a risk of a downside break. The first key support is near the triangle lower trend line or $10,650.

A clear break below the $10,650 support might increase chances of more downsides below the main support zone at $10,550. In the stated case, the price is likely to dive towards $10,200 or even $10,000 in the coming sessions.

Technical indicators:

Hourly MACD – The MACD is struggling to gain pace in the bullish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is currently testing the 50 level.

Major Support Levels – $10,650, followed by $10,550.

Major Resistance Levels – $10,850, $10,950 and $11,000.

Devere Group CEO Predicts Bitcoin Can Replace Gold as Top Safe-Haven Within a Generation

Devere Group CEO Predicts Bitcoin Can Replace Gold as Top Safe-Haven Within a Generation

A few weeks ago, Devere Group CEO and founder Nigel Green said that he believed the U.S. election would bolster the price of bitcoin. Speaking with the financial broadcast MoneyFM on Monday, Green said he also believes that bitcoin will replace gold as the ultimate financial safe haven within the timespan of a generation.

Devere Group CEO Nigel Green is a big believer in crypto assets like bitcoin (BTC) and he’s been more vocal about his forecasts in recent days. Last August, news.Bitcoin.com reported on Green explaining why he thinks the U.S. presidential election would have devastating effects on the U.S. dollar but also bolster bitcoin at the same time.

Green’s firm Devere Group is one of the world’s largest independent financial advisory organizations in the fintech world and the firm’s assets under management (AUM) exceed $10 billion.

On Monday, Green once again spoke about the crypto asset again during an interview with the broadcast MoneyFM. The discussion was prompted by the Singapore Exchange (SGX) invoking two new crypto indexes in order to create a price standard for BTC and ETH throughout Asia.

Green shared his thoughts about bitcoin (BTC) and other digital currencies in the interview and explains why he thinks bitcoin could potentially replace gold.

“I just think [bitcoin] has gradually become more accepted,” Green said. “When you go back to the basics, there’s always been a system of payments in the world. If you go back to bartering, there’s always been some way of people keeping score. With the current situation, we have governments keeping score, and not everyone in the world is comfortable with their own government. So one way of looking at cryptocurrencies is that a computer is keeping score.”

The Devere Group CEO added:

So that’s what we’ve seen over a number years and just gradually more and more acceptance from people. [Bitcoin] is similar to gold, as so much as gold is limited, and obviously young people are more willing to accept a digital currency than perhaps some older people.

Green said that owning U.S. dollars or Venezuelan bolivars is basically equivalent to owning promises from governments. Essentially, citizens are allowing governments to keep score, but the scorekeepers are easily corrupted.

“Of course, what’s happened in recent times has been mass printing of money but it’s really digitally added,” Green stressed. “ If you are flooding the market with extra dollars, then in fact you are devaluing [money]. The advantage of bitcoin is that there is a limited amount. Some people would rather a computer keep score, and some people would not have faith in their government and they would rather have something where there’s a limited amount.”

When asked if his bitcoin prediction was sped up by Covid-19, Green responded that he thinks the coronavirus has fueled his forecast and technology in general.

“Do we really think we will have Singapore dollars in our pocket or will we have digital currencies? I think we accept that ultimately it will be digital currencies,” Green insisted. “The next question is: ‘Is bitcoin accepted as part of that digital world?’ It has become more and more apparent that it is, as younger people are more familiar with [bitcoin] and they trust in that world than perhaps other people,” the Devere Group founder added.

Green continuously noted that there was a strong prevalence of the youth being more geared toward innovations like bitcoin.

“There’s a particular generation that is more trusting in gold, but then there’s another generation coming through,” Green said.

However, he also said he was in his sixties and even at his age he believes digital currencies are easier than storing precious metals. “It’s easier,” Green remarked. “You can put [crypto assets] on your telephone, [opposed] to carrying some gold or storing gold,” he concluded.

What do you think about the Devere Group CEO’s opinion that bitcoin will replace gold in a generation? Let us know what you think in the comments section below.

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What can I do to prevent this in the future?

If you are on a personal connection, like at home, you can run an anti-virus scan on your device to make sure it is not infected with malware.

If you are at an office or shared network, you can ask the network administrator to run a scan across the network looking for misconfigured or infected devices.

This Fundamental Indicator Shows Why Bitcoin Can’t Seem to Break $11,000

Bitcoin

This Fundamental Indicator Shows Why Bitcoin Can’t Seem to Break $11,000


  • Bitcoin’s price has entered a consolidation phase as it trades between $10,600 and $10,800
  • The cryptocurrency’s strong uptrend in recent days stalled as soon as it approached $11,000, as the selling pressure at this level has proven to be quite significant
  • Analysts are now conflicted on where it may trend next, as it all depends on whether $11,000 proves to be a surmountable level
  • One analytics firm is now noting that there is one indicator that is providing insight into why BTC can’t seem to break this level
  • They note that the network is currently seeing a “severe lack” of address activity, which points to underlying weakness

Bitcoin has been consolidating ever since bulls were able to push it up towards highs of $11,000. The move to this level earlier this week was promising, but it has since been followed by another prolonged period of sideways trading.

Where the entire market trends in the coming few weeks should depend largely on how it continues responding to the selling pressure that exists here.

If bears take control and push BTC lower, it may not find any strong support until $10,000, with a break below here being grave.

One fundamental metric that may be contributing to this slight weakness is a “severe lack of address activity” – according to one analytics firm.

Bitcoin Consolidates Below $11,000, But Weakness Grows 

At the time of writing, Bitcoin is trading up marginally at its current price of $10,770. This is around the price at which it has been trading at throughout the past several days.

Yesterday, after advancing towards $11,000, BTC faced a sudden inflow of selling pressure that caused its price to slide as low as $10,500 on some trading platforms.

The decline to these lows was fleeting, but it highlighted the strength of BTC’s near-term resistance, as well as some underlying weakness amongst bulls.

Analytics Firm: Network Activity Flashing Warning Signs for BTC

Analytics platform Santiment explained in a recent tweet that there is currently a severe lack of address activity on the Bitcoin network. This points to underlying weakness amongst the crypto’s buyers.

“Why is BTC continuing to see drop-offs occur whenever we near $11k? Our DAA Divergence model indicates the network is seeing a severe lack of address activity. Today is the 5th most bearish output in the past 6 mths.”

Bitcoin

Image Courtesy of Santiment.

The coming few days should shine a light on Bitcoin’s mid-term outlook.

Featured image from Unsplash.
Pricing data from TradingView.

Analyst: Chainlink Gearing Up for a Major Push Higher as Bulls Defend $10.00

Chainlink is currently attempting to confirm $10.00 as a support level as it faces inflows of selling pressure that jeopardize its near-term outlook.

Despite the present weakness it is facing, a confirmation of this level as support would be incredibly bullish, as it would mark a mid-term support-resistance flip that potentially kicks off the next leg of its recovery.

On the flipside, a break below this level would be grim, and potentially cause the cryptocurrency to plunge down towards its recent $7.50 lows that were set just a handful of days ago.

While speaking about Chainlink’s present market structure, one analyst explained that although it is not “super bullish” at the present moment, it does appear to be positioned to see some strong upside.

He specifically points to the aforementioned support-resistance flip, explaining that a confirmation of $10.00 as support could be enough to boost LINK’s price towards $12.00 – marking a 20% rise from where it is currently trading at.

Chainlink Faces Intense Selling Pressure as Bulls Guard $10.00 

At the time of writing, Chainlink is trading down just under 2% at its current price of $10.15. Bears are aggressively trying to force it lower, but buyers have posted a strong defense of this price level.

This dip came about rather unexpectedly today, as LINK was previously showing signs of being stable within the upper-$10.00 region.

The instability within the aggregated crypto market contributed to this weakness, and may cause it to see further downside in the near-term.

Bitcoin, Ethereum, and most other major digital assets all tested their near-term support levels yesterday afternoon and have seen declining upwards momentum ever since.

This could place some pressure on Chainlink in the days and weeks ahead.

Here’s the Key Level LINK Must Continue Defending

While sharing his thoughts on Chainlink’s present market structure, one analyst explained that LINK bulls must confirm $10.00 as a support level. An ability to do so could lead it to see further upside in the days and weeks ahead.

“LINK / USD: Price action is looking pretty good if we can flip $10 into some support over the next 24/48 hours, could be a good chance that we can soon retest $12 as resistance… Not super bullish at the moment, still ground to cover.”

Chainlink LINK

Image Courtesy of Cactus. Chart via TradingView.

Whether or not $10.00 continues to be defended by Chainlink bulls may depend largely on how the aggregated market trends in the near-term.

Featured image from Unsplash.
Charts from TradingView.

Uniswap’s UNI Bounces at Key Support as the Bull Case Continues Growing

Uniswap’s UNI token has been slowly grinding lower over the past few days, with buyers being unable to gain control over its short-term trend as the hype surrounding the token’s launch begins fading.

That being said, UNI’s buyers are now moving to establish its recent lows as a long-term base of support, as it has posted multiple positive reactions to the lower-$4.00 region.

Interestingly, the Uniswap governance token only appears to be loosely correlated to the rest of the market, which may mean that smaller Bitcoin fluctuations will only have a limited impact on where it trends in the near-term.

One analyst does believe that upside could be imminent, noting that it is imperative that bulls reclaim $4.70, as a break above this level could be the event that helps fuel its next strong uptrend.

Other investors are also noting that its fundamental strength still remains and that its upside potential is significant.

Analyst: Uniswap’s UNI Bounces at Support as Bulls Attempt to Spark Trend Reversal

In the time following the release of the Uniswap governance token a couple of weeks ago, it has been subjected to some wild price swings.

Following its launch, the UNI price plunged down to lows of $1.00 before it garnered some significant momentum that sent it surging up towards $8.50.

This marked a local top, as its price has been sliding lower ever since. Bulls were able to establish $3.50 as a strong short-term bottom, with UNI now attempting to set a higher low as it consolidates above $4.00.

At the time of writing, the Uniswap token is trading up just over 1% at its current price of $4.29.

Here’s the Crucial Level UNI Must Break Above

One analyst explained that Uniswap’s UNI token must surmount $4.70 in order to see further upside in the days and weeks ahead.

He believes that a break above this level could be enough to spark a fresh uptrend.

“UNI: There we go, bounce of around 10% since this area. Still, no clear trend direction given as $4.70 should be reclaimed, but at least a good entry.”

Uniswap UNI

Image Courtesy of Crypto Michael. Chart via TradingView.

Many investors are pointing to the potential release of a V3 of Uniswap as one factor that could boost the token in the near-term. This is expected to provide the DEX with many new features that make it more similar to a centralized exchange.

This may spur growth for both its trading volume and its liquidity.

Featured image from Unsplash.
Charts and pricing data from TradingView.