The country of El Salvador is one of the countries on the planet that heavily believe in the technology of Bitcoin. It is already acknowledged by some countries and companies globally. Regardless, Bitcoin is one of the most recognized crypto assets in the world. This tweet gathers different opinions in the Twitter (NYSE: TWTR) community, some agree while others disagree. Furthermore, the tweet also explained that Bitcoin is almost near reclaiming the $50200 mark as its support level. The tweet posted by Rekt Capital explained the current state of Bitcoin under the 200-day EMA. #BTC is just below the 200-day EMA right now$BTC #Crypto #Bitcoin /vOlJVSEM6p This made Rekt Capital, crypto trader, and analyst react: Bitcoin’s prominent reputation and position in the industry made it one of the favorite virtual assets by investors and analysts inside and outside the ecosystem. Moreover, Bitcoin remains to be the number one digital asset in the crypto market. Bitcoin Rallies Below 200-Day EMA, Gears to Hit $50K Soonīitcoin continues to dominate the crypto space with its overwhelming market cap that amounts to almost $1 trillion.
While cryptos have generally taken their lead from BTC, this time may be different, says Tiwari.īut for traders on the hunt for market bottom, these are going to be nerve-wracking times.© Reuters. I believe the adoption rate of NFTs will be even faster than that.” “It’s taken 12 years to reach 200 million bitcoin users. Teeka Tiwari of Palm Beach Research Group argues that the biggest gains in crypto going forward will not come from Bitcoin, but from non-fungible tokens (NFTs). That percentage was unchanged from the percentage who said they had not sold any crypto in the past six months. Some 91% of respondents said they intended to buy crypto in the next six months, with 30% saying they do not plan to sell any of their crypto holdings in the next six months. Read: Crypto lender Celsius stops withdrawalsĪfter a month of terrible news for cryptos, there were a few nuggets of good news.īank of America recently surveyed 1,000 existing and potential users of digital-asset exchanges. The pause was intended ‘to stabilise liquidity and operations while we take steps to preserve and protect assets.’ The most recent drop in price was prompted by crypto lending platform Celsius announcing on Monday that it was pausing all withdrawals, swaps, and transfers between accounts due to extreme market conditions. “By knowing where the price of the support curve is 385 days from today and making assumptions about how severe BTC will correct after hitting a cycle top, one can have a better sense of where BTC would need to be trading to correct down to the support band over 385 days.” “Also, one will find that BTC has corrected, on average, -86% after the bull market ends. When considering previous bull market cycles, one will find that it takes, on average, 385 days for BTC to fall to the support band after topping out, says Kraken Intelligence.
That trend line has been surprisingly robust over the last decade, and has been breached only briefly in 2020, and again in the last week. The logarithmic chart shows the trending support line in black.
Both ‘jumps’ reflect a 100% increase in price, as shown in the chart below. In other words the jump from $50 000 to $100 000 is half the distance on the left-hand scale, and the same as the jump from $25 000 to $50 000. Were it to return to this range, this implies a price of $215 274 to $322 912.Īccording to Kraken Intelligence, BTC traded ata 5.8X multiple to the 200-week moving average before entering into a downtrend.Īnother way of looking at BTC is to reflect prices on a logarithmic scale, which reflect percentage increases in price more realistically. The 200-week moving average price is $21 527, and BTC has historically traded at 10 to 15 times this average. Read: Bitcoin rout hits ‘darkest’ phase with entire market underwaterĪ break below this level could see it plunge even further to $18 000 and even $14 000. It’s worth noting that this week’s drop has been on very thin volumes. This price dropped from $28 100 to $22 400 this week, a 20% drop that appears to have been arrested at the 200-week moving average. The chart below shows BTC has touched the 200-week moving average three times since 2018, and each time has bounced off this critical support level. The 200-week moving average is a key indicator watched by bitcoin (BTC) traders and it looks as if it is about to be breached.