Cryptocurrency Analysis

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Microstrategy is not afraid of bearish impulses and makes a fabulous purchase: Saylor goes all-in again, buying over $242 million worth of Bitcoins



Microstrategy and the main crypto expert with experience, Michael Saylor, continue to buy bitcoins. Despite the incomprehensible situation on the crypto market, Saylor makes a fabulous purchase of bitcoin during the correction on the crypto market. Now it is not clearly visible who controls the market, bulls or bears, and it may be risky for many to buy bitcoin at this moment, but not for Microstrategy.

The market lost momentum last week and it was seen that the bitcoin market has undergone the liquidation of billions. However, Microstrategy, which has been engaged in buying and selling bitcoins for years, and not analytics, is not at all embarrassed by the situation on the market.

Microstrategy goes all-in again, ignores the storm of bears, and buys bitcoin worth over $200 million. The company is again bullish on Bitcoin, considering it the main financial asset in the world. The total purchase of bitcoins is worth $242.9 million, and the average price of bitcoin was $48,000.

This purchase added another 5050 bitcoins to the company's portfolio, the total amount of bitcoins stored in Microstrategy and Macrostrategy companies is about 114,000 bitcoins purchased for $3.15 billion. The average purchase price of bitcoins was $27,700.

It is clearly visible that Microstrategy does not change its strategy and buys bitcoin even at the most risky moments. The pretentious hodler Saylor and his company expect to keep bitcoin for a long time, since they have diamond hands. Saylor heads a company that has more than the most bitcoins in its assets.

Saylor is an ardent supporter of bitcoin and a whale with many years of experience. He constantly praises bitcoin on various media resources, gathers conferences that include many crypto enthusiasts, raises questions about the environmental sustainability of bitcoin and mining.

Saylor also dispels the rumors of many critics that bitcoin consumes too much energy. He stated that the energy consumption of bitcoin is not huge, and bitcoin itself does not consume electricity for conducting intra-network transactions.

Bitcoin transactions that occur on level 2 platforms, namely Lightning or level three applications, such as CashApp, are executed in a matter of seconds and for free. The electricity itself is used exclusively to protect the network itself and ensure its safety and integrity.





Vitaly Kolesnikov
Analytical expert of InstaForex
© 2007-2021

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Bitcoin: Controversial long-term. 500K in five years or "murder" by regulators?

Bitcoin seems to have consolidated above the local mirror level of 47,124.39, marked with a blue dotted line. If the optimism of cryptocurrencies continues, as indicated in yesterday's review, there is a high probability of seeing $50,000 per coin very soon.

In the meantime, the forecast is slowly being worked out, the technical guidelines are clear, it is worth noting that the latest news is very contradictory. We are talking about the long-term forecast and the views of reputable investors on the future of the main cryptocurrency.

Today's news feeds exploded with reports that Cathie Wood sees bitcoin will grow tenfold, reaching $500,000 in about five years. The head of Ark invest builds her forecast on the growing demand of institutional investors and is probably right.

But Ray Dalio, founder of the world's largest hedge fund, Bridgewater Associates, looks at the situation from a different angle. He believes that regulators will eventually take control of bitcoin if the cryptocurrency does indeed gain massive success.

"I think that in the end, if it really succeeds, they will try to kill bitcoin. And I think they will kill it because they have ways to do it," Dalio said in an interview with Andrew Ross Sorkin on CNBC's "Squawk Box" on Wednesday at the SALT conference in New York.

This idea sounds exaggerated, but not without foundation. US regulators are increasing their oversight of the volatile cryptocurrency space due to high volatility in speculative markets. Securities and Exchange Commission chairman Gary Gensler said on Tuesday that Wall Street's main regulator is working overtime to create a set of rules to protect investors by better regulating thousands of new digital assets and coins.

Dalio, however, does not give up on bitcoin and believes that it is a good alternative to cash. He said that he himself owns this cryptocurrency, but the share in it is smaller compared to gold.

"I think it's worth considering all alternatives to cash and all alternatives to other financial assets. Bitcoin is an opportunity. I have a certain amount of money in bitcoins," Dalio said.

No matter how authoritative or, on the contrary, exaggerated the statements of eminent investors may sound, it is worth remembering that for a speculator trader, it is mainly local price fluctuations that matter. In the meantime, US regulators have not "killed" bitcoin (if this, of course, happens), you can take a small profit from the market on short-term fluctuations, and may technical analysis help with this!






Ekaterina Kiseleva
Analytical expert of InstaForex
© 2007-2021

[IFX_Selena]

Trading signal for BITCOIN for September 15 - 16, 2021: Buy above $ 46,875 (7/8)



In the early hours of the American session, Bitcoin is trading above the bearish channel in the 4-hour chart that was broken yesterday in light of the US inflation data. Meanwhile, the price is advancing slowly but surely. It is located above the EMA of 200 which may favor an advance up to the psychological level of 50,000 in the short term.

The BTC has consolidated after the slump on September 7 from the level of 46,800 to 43,750. This range had been putting downward pressure on Bitcoin until September 14 when it managed to break. Now it is consolidating above this level.

According to the 4-hour chart, the outlook seems bullish for BTC. Now it has the support of the dynamic line of the 200 EMA and the 21 SMA. Besides, the eagle indicator has also broken its imaginary bearish line, showing a bullish signal.

For the bulls to maintain momentum, BTC should stay above 7/8 murray located at 46,875. Thus, it could rise to the 8/8 resistance murray. If the market becomes more optimistic, BTC price could surge to the strong resistance of 53,125.

On the contrary, if the price fails to gain bullish strength, or if investors look scared, it could fall below the EMA of 200. This will be the beginning of a new bearish wave that could drag the price to the psychological level of 40,000 zone of 5/8 murray.

Our outlook in the short term will be bullish on condition that BTC holds above 46,875 with targets at 50,000 and up to 53,000. On the contrary, below 45,900, it will be a sign that BTC has entered the bear market.

The technical reading of the eagle indicator is showing a bullish signal. Accordingly, we can continue buying, only above 7/8 of a murray.


Support and Resistance Levels for September 15 - 16, 2021
Resistance (3) 49,919
Resistance (2) 48,409
Resistance (1) 47,584

Support (1) 45,249
Support (2) 43,750
Support (3) 42,915


Trading tip for BITCOIN for September 15 - 16, 2021
Buy above 46,875 (7/8), with take profit at 50,000 (8/8) and 53,125, stop loss below 46,000.

Sell below 46,500 (EMA 200), with take profit at 43,750 and 40,625, stop loss above 47,800.





Dimitrios Zappas
Analytical expert of InstaForex
© 2007-2021

[IFX_Selena]

BTC analysis for September 15,.2021 - Key bear zone on the test

Technical analysis:



BTC is approaching major bear zone at $48,000-49,780. Downside opportunities are preferable from the bear zone.


Trading recommendation:
Watch for selling opportunities due to buying key bear zone in the background.

Downside targets are set at $45,000 and $43,400

Stochastic is not swing any signs for reversal yet but watch for the eventual divergence.





Petar Jacimovic
Analytical expert of InstaForex
© 2007-2021

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Trading plan for Bitcoin for September 15, 2021



Technical outlook:
Bitcoin is inching closer to $47,500 mark after drifting sideways since September 07. The crypto is expected to find resistance around $48,000-49,000 zone and could resume lower again. It is expected to drop toward $35,000-37,000 zone before the uptrend could resume and print above $65,000 mark again.

Alternatively, if bulls are able to push above $50,000 levels from here, it would confirm that Bitcoin is heading above $65,000 straight and that a meaningful bottom is in place around $43,000 mark already. Immediate resistance is seen at $53,000, followed by $61,000, while support comes in around $43,000 mark respectively.

We shall review again around $48,000-49,000 zone to see if bearish potential remains. At the time of writing, Bitcoin has found intermediate support around Fibonacci 0.382 retracement of the rally between $28,600 and $52,700 levels respectively (not shown on the chart).


Trading plan:
Potential drop from $48,000-49,000 zone against $53,000

Good luck!





Oscar Ton
Analytical expert of InstaForex
© 2007-2021

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US Senate already has a deep understanding of issues in the crypto industry



US Senators focused their questions on payments for order flow during the hearing of SEC chairman Gary Gensler on Tuesday. This hints that the Congress already has a deep understanding of issues that the SEC is likely to address in the course of several months.

Gensler's statements clearly show that he the players in the crypto industry are already going overboard, and recent actions by the SEC against companies like Coinbase Global (COIN) have indicated their readiness to take action.

And amid lobbying by the crypto industry in recent months and executive concerns about ransomware and hacking, the Congress is now more involved in cryptocurrencies and poses more pressing questions to regulators.

For example, Republican Senator Pat Toomey asked Gensler about stablecoins, a type of cryptocurrency that is usually pegged to the dollar and therefore does not fluctuate as much as Bitcoin and the like. It is not the most attractive cryptocurrency, but is easier to trade with. Toomey said stablecoins are not securities so they should be able to trade freely without complying with registration and disclosure requirements for securities.

"Stablecoins are not profitable, nor are they simply pegged to the dollar. Now you can use them to try to make a profit, but this is a second-tier activity. Do you think stablecoins can be securities themselves?" Toomey said.

"I think it could very well be securities, Senator," Gensler replied, referring to various financial instruments that the SEC considers securities. But Toomey said he doesn't think the coins fit this, and at the very least the agency should be more specific in how it values them.

Overall, Republicans in the group were more crypto-friendly in their comments and wanted more clarity from the agency on what is legal and what is not. Toomey said he is concerned that the SEC is not clarifying its rules for cryptocurrencies ahead of time, which is why crypto companies are uncertain on what will bring them to court.

Bitcoin and Ethereum stabilized because of this news.



"This is regulation by coercion and it is very undesirable, I am concerned that it could stifle internal innovation," said Toomey.

Gensler encouraged crypto companies to come and speak with the agency before launching new products. He argued that some of the problems in the crypto industry need to be addressed individually rather than by adopting general rules. Gensler also believes that most cryptocurrencies are securities, which means they cannot be sold to the investment community without disclosing risk information.

Gensler recently announced that there may be a ban on payment for order flow, as well as a number of other changes in the structure of the market. He explained that it has been about 16 years since they completely rewrote the structure of the national market. But overwriting can lead to limited discounts, including payment for exchange orders.

This is why Republicans were less supportive of payment restrictions on order flow. Senator Tim Scott, for instance, said the restrictions could result in the return of upfront brokers' commissions, which would reduce access to trade for groups that previously had no access to the markets.





Andrey Shevchenko
Analytical expert of InstaForex
© 2007-2021

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Technical Analysis of ETH/USD for September 15, 2021

Crypto Industry news:
The Colombian government has decided to fund a new application, board game and book to educate children and teenagers about investing in cryptocurrencies. The game was proposed by Henry Jean Velasquez in response to the government's call for innovative projects that could support financial education among young Colombians.

The game called "B Coin: Learn to Invest in the Stock Market" simulates the retail experience.

The government has announced a competition under the CREA Digital Call 2021 program jointly launched by Colombia's ministries of culture and science, technology and innovation. As the winner, Velasquez will receive 119 million pesos (approximately $ 31,000), and in November it will present a remastered version of its proposed game in the form of a downloadable graphic novel for Windows and Android. From December, B Coin will be distributed through popular app stores.

In addition to the new version, Velasquez will also produce a board game and book by March 2022 to further enhance the project.

As reported in the media, some researchers in the United States recently revealed their concerns that American teens feel negative about the trade, partly because they witnessed the GameStop saga. Accordingly, efforts have been stepped up to change the minds of teenagers by promoting pro-stock education programs.

South Korean researchers, on the other hand, feared that the growing reliance of millennials on loan-funded speculative investments such as stocks and cryptocurrencies was putting them into a high-indebtedness trap. They also noted that many younger people see day trading as "a once in a lifetime opportunity" to break out of financial uncertainty and help them survive in an uncertain job market, reduced wages and disproportionately high real estate prices.


Technical Market Outlook
The ETH/USD pair has been seen moving up and down, still without any particular direction. The price has hit the trend line support and bounced towards the level of $3,450 so far. Any sustained breakout below the trend line is very bearish and might expose the technical support located at $2,906 for a test. The nearest technical supports are seen at $3,185, 43,122 and $3,052. The key short-term supply zone is located between the levels of $3,552 - $3,596.

Weekly Pivot Points:
WR3 - $4,704
WR2 - $4,312
WR1 - $3,783

Weekly Pivot - $3,411
WS1 - $2,806
WS2 - $2,445
WS3 - $1,829


Trading Outlook:
Ethereum have started the next wave up and violated the long-term target at the level of $3,550. The next long-term target for ETH is seen at the level of $4,394. Nevertheless, in order to continue the long-term up trend, the price can not break below the technical support at the level of $2,906. The level of $1,728 (61% Fibonacci retracement of the last big impulsive wave up) is still the key long-term technical support for bulls.






Sebastian Seliga
Analytical expert of InstaForex
© 2007-2021

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Technical Analysis of BTC/USD for September 15, 2021

Crypto Industry news:
Eurex, a derivatives exchange owned by the German Deutsche Boerse, made its debut in trading cryptocurrency instruments with the launch of Bitcoin ETN Futures, developed by the London-based ETC Group.

The Euro-nominated Bitcoin ETN Futures is based on the ETC Group's flagship product, the centrally cleared Bitcoin (ETP) exchange product known as BTCetc Physical Bitcoin (BTCE). The futures contract allows traders to track Bitcoin's price movements in a regulated environment. It will be physically delivered in BTCE which is 100% Bitcoin secured and can be instantly converted by any investor to the base BTC.

ETC Group CEO Bradley Duke noted that the latest offering represents another important milestone in providing institutions with financial products that enable exposure to cryptocurrencies on regulated exchanges.

The listing of Bitcoin ETN Futures on Eurex came more than a year after the ETC Group listed its BTCE ETP product on Xetra, a large digital stock exchange operated by Deutsche Boerse. ETP is currently listed on many European exchanges, including the SIX Swiss Exchange.

In July, the ETC Group announced that BTCE would be carbon neutral, offsetting its carbon footprint through hand-selected carbon credits to offset the carbon emissions associated with BTCE's Bitcoin mining.


Technical Market Outlook
The BTC/USD pair has broken above the level of $46,371, so the road towards $50k is now open. The local high was made at the level of $47,425. The bears have control over the market and are pushing the price lower towards the lows of September 7th located at $43,159, but the bulls are fighting back. The nearest technical support is seen at the level of $46,371 and $46,719. Only a sustained breakout above the level of $46,719 would change the short-term outlook to bullish.

Weekly Pivot Points:
WR3 - $59,391
WR2 - $56,198
WR1 - $49,661

Weekly Pivot - $46,351
WS1 - $40,043
WS2 - $36,782
WS3 - $30,164


Trading Outlook:
According to the long-term charts the bulls are still in control of the Bitcoin market, so the up trend continues and the next long term target for Bitcoin is seen at the level of $70,000. The next mid-term target is seen at the level of $59,506. This scenario is valid as long as the level of $30,000 is clearly broken on the daily time frame chart (daily candle close below $30k).






Sebastian Seliga
Analytical expert of InstaForex
© 2007-2021

[IFX_Selena]

Cathie Wood predicts Bitcoin to rise tenfold



Bitcoin struggled, but still managed to stay above the level of $ 43,852, rebounding from it two times. We did not see anything but the $ 10,000 collapse on September 7, which was provoked by the events in El Salvador. Now, market participants have shown that they are not ready to sell Bitcoin. Therefore, the cryptocurrency held above the level of $ 43,852, and it consolidated above $ 46,600 last night, which opens up prospects for it to grow back to the level of $ 51,350. It can be recalled that there is an assumption that Bitcoin has no fundamental reasons to rise at this time. We also believe that Bitcoin's price will rise in the long term, but that the cryptocurrency should be corrected more deeply before starting a new "bullish" trend.

Cathie Wood, CEO of Ark Invest, who has recently become a person for bitcoin comparable to the figure of Elon Musk, believes that bitcoin will continue to increase and will rise to $ 500,000 over a five-year period. She voiced this opinion at the Salt conference. She also added that all companies and large investors will allocate a certain part of their funds to buy bitcoins in the near future. The head of Ark Invest also noted that states are beginning to recognize bitcoin as a means of payment, which will also play into the hands of the main cryptocurrency.

Meanwhile, Democrats in the US want to remove several tax loopholes from the legislation that allows tax evasion through various trade operations. In particular, we are talking about transactions with bitcoin. The new rule will prohibit declaring tax losses while maintaining interest in the crypto asset. The meaning is as follows:

If you own bitcoin and it is currently unprofitable for you, you cannot sell it and make losses in the tax return, and after a week or two, buy bitcoin again. It can also be recalled that a new "infrastructure package" is still being discussed in the States, under which fees for $ 28 billion in the form of tax revenues from transactions with bitcoin are provided. Therefore, many are waiting for the tightening of regulation of the cryptocurrency sphere in the United States in the near future.

At the same time, the President of El Salvador Nayib Bukele said that the number of bitcoin wallets in the country exceeded 0.5 million. He said that experts are working on fixing errors in the system in order to improve it. Earlier, El Salvador became the first state in the world for which bitcoin became an official means of payment.

Meanwhile, various analytical portals report that a colossal transaction was processed on the Bitcoin network on Monday. An unknown person transferred an amount equal to $ 2 billion from one wallet to another. Interestingly, 78 cents were paid as a transfer fee. Experts immediately noticed that a similar transfer through a traditional banking system would cost the owner at least $ 20 million.



There is a clear downward trend in the four-hour time frame, but the price may consolidate above the Ichimoku cloud in the near future, which will open up excellent growth prospects to the level of $ 51,350. It should be recognized that the bears once again showed themselves on the weak side and could not break through the important level of $ 43,852. Thus, it is possible that the growth will resume, and the sale should not be thought of before consolidating below the level of $ 43,852.







Paolo Greco
Analytical expert of InstaForex
© 2007-2021

[IFX_Selena]

Litecoin Under Massive Pressure After Fake Walmart News!

Litecoin stands above 180.00 psychological level at 180.39. It's trading in the red after climbing as much as 188.88 level today. As you already know, LTC/USD increased as much as 237.88 in yesterday's trading session after fake news announcing a partnership between Walmart and Litecoin.

Fundamentally, the pressure is high after yesterday's controversy. It remains to see how the price of Litecoin will react during Walmart's investigation. Technically, LTC/USD hovers right above critical dynamic support.


LTC/USD IMMINENT DOWNSIDE MOVEMENT!


Litecoin registered a false breakout with great separation through the 232.64 higher high in yesterday's session. It seems undecided and it continues to stay above the ascending pitchfork's lower median line (LML).

Making a valid breakdown through the lower median line (LML) could activate and announce a potential downside movement towards the 150.00 psychological level.


FORECAST!
Litecoin could extend its downside movement, the sell-off if it drops and stabilizes below the lower median line (LML). Its failure to reach the upper median line (UML) signaled exhausted buyers.

So, a valid breakdown below the dynamic resistance, LML, could also bring short opportunities. Still, in the short term, we cannot exclude a temporary growth before activating a strong drop.





Ralph Shedler
Analytical expert of InstaForex
© 2007-2021