Cryptocurrency Analysis

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What to expect from Bitcoin, autumn growth or preparing for the harsh winter (September 10)

The first cryptocurrency since the beginning of autumn is not so bad. The return of quotes above the $10,000 mark gives optimism to market participants, and an influx of cash may provide a chance for solid growth of Bitcoin. Now, there are several theories about new turns of growth of Bitcoin, and they all focus on living money from the real world. The first and one of the most high-profile news was against the background of the movement of a very large transaction of 94,504 BTC (more than $1 billion). On September 6, the Whale Alert robot, which tracks the movement of large crypto transactions in real-time, recorded an unusual movement of capital in the amount of 94,504 BTC. A noteworthy point is that the wallets from which such a significant amount was moved do not belong to any of the crypto exchanges. One of the theories of this movement is that large transactions may be involved in institutional investors who replenish Bakkt deposits. Then this is very good news for the crypto industry, so funds can pump the market with real money, which will result in an upward trend. The next theory came from China, where, according to Bloomberg, residents began to hedge risks due to the ongoing trade war with the United States, transferring part of their savings to cryptocurrencies. As a result, sharp jumps in the rate of bitcoin on local exchanges.


Digest of the past days:
• Apple Pay Vice President Jennifer Bailey expressed his opinion about cryptocurrencies in an interview with CNN: "We are watching cryptocurrencies. We think it's interesting and they have long-term potential." The opinion of one of the largest corporations in the world is a big plus in the development of the crypto industry.

• It has been reported that the Chicago Mercantile Exchange (CME Group) plans to launch bitcoin options soon. Let me remind you that at the end of 2017, CME launched bitcoin futures.

• The future head of the ECB, Christine Lagarde, urged central banks not to exert excessive pressure on cryptocurrencies. "About new technologies, such as digital currencies, it is necessary to be alert when it comes to financial stability, privacy, and unlawful acts, and to ensure that all the requirements are presented to direct technologies for the benefit of society. But it also means recognizing the wider benefits to society of innovation and providing space for their development, "said Christine Lagarde.

• At a forum sponsored by the Swiss Institute for International Studies, Fed Chairman Jerome Powell spoke out on cryptocurrencies and stablecoins. So, Powell said that the Fed is watching the crypto industry, but does not plan to create its cryptocurrency.

• Chairman of the US Securities and Exchange Commission (SEC) Jay Clayton in an interview with CNBC said that cryptocurrency enterprises are already much closer to the necessary standards, but they have not yet proved the safety of Bitcoin ETFs for investors.

As we can see from the news flow, the crypto industry is not just developing, it is beginning to gain a new trend, attracting more attention.

What we have now is a small correctional move of September 6, where the quote returned to the previously formed cluster at the level of 10000/10400. The goal of many is to keep quotes above $10,000, as in this case, it will be possible to consider the gain from the psychological level and the range of accumulation, which will give strength in the further formation of the upward move.


What are the assumptions for further development?
The priority has already been voiced above, it is holding quotes above $ 10,000, but as you know, these are hopes, but in reality, we can see another entry into the accumulation framework, that is, 9800/10500. What is most important in setting forecasts is the fact that when expectations coincide in the form of entering the market of institutional investors, an upward trend may appear, which will help bitcoin escape from the ill-fated framework. As you know, such judgments do not carry the prospect of a day, a week, or even a month; this is something closer to a long-term recommendation, so keep this in mind if your positions are designed for several days.

Key coordinates for the upward stroke: 10950; 12330; 13130; 13970.

Key coordinates for the downward stroke: 10000; 9400; 8500; 7500.

The general background of the cryptocurrency market

Analyzing the general market capitalization, we see that the volume of the market has been moving almost horizontally for quite a long time, but, as experienced traders say, an ascending sidebar is visible. Compared to the previous article, capitalization fell by $ 3.3 billion and currently amounts to $ 264.4 billion. Such changes in terms of the entire cryptocurrency market are negligible, and thus we see that, in principle, the market is worth it.

If we consider the volume chart in general terms, the current ceilings are 272 – 281 – 320 – 356 – $385 billion.


The index remained unchanged and is at the level of 41p. As we can see, the correctional movement didn't scare market participants and we go at critically low levels, perhaps this fall and the truth will be safe for the crypto industry.


Technical analysis
Analyzing different sectors of timeframes (TF), we see that the indicators in the short-term and intraday interval signal sales, reflecting the actual corrective course of the market. The medium-term outlook maintains an upward interest, filtering the current correction.





Performed by Gven Podolsky
Analytical expert
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