Drastic change in sentiment in Crypto after Bitcoin surgeries: technical indicators point to a Rally
Since Bitcoin (BTC) embarked on a bear market rally on Sunday, surpassing $ 3,600, $ 3,700 and $3,800 in quick succession, the waters of the nascent crypto market have calmed down. At the time of writing this report, Ethereum, EOS, among other leading encryptionassets, have posted single-digit percentage losses, nothing fancy.
And while some wouldsay that the lack of continued buying pressure could justify a short-termset back, notable traders have been convinced that, from a fundamental and technical perspective, BTC still has much in its favor.
Bitcoin could push higher in the coming days
Don Alt, a leading analyst, recently said on Twitter that he is optimistic until Bitcoin is around$ 4,400. In the sub-tweets of his message, the merchant added something jokingly that it would even be possible for BTC to find itself at $ 4,700 if this market correctly plays its proverbial cards.
An analyst who carries the nickname “Flood” also expressed optimism. Noting that he has a long open order of $ 3,800 to catch a “sharp rebound,” due tothe fact that there are likely to be “big players” who missed the recent rise in Bitcoin, and therefore clamor for open positions long in anoffer, to counter shorts.
Crypto Rand recently analyzed why analysts are promoting sentiment. The leading industry commentator said that BTC’s recent move allowed it to exit its short-term falling wedge and bullish flag, along with a long-term “big pennant of bears,” an obviously positive sign. Rand added that, from the volume readings, it should also generate some form of optimism, and noted that this measure has entered and is an upward trend, which indicates buying pressure and popularity in the market.
Even an operator that appeared in CNBC’s “Futures Now” segment commented that Bitcoin looks a bit better than before Monday’s rally. Jeff Kilburg, a CME operator, noted that “Bitcoin has the ability to recover,” adding that the approval of an ETF or other “solid confirmation” that the cryptocurrency will survive should confirm such a bullish move.
Long-term Crypto Bulls are still attacked by the stars
From a longer-term perspective, a number of analysts and researchers have also remained optimistic. Bitcoin Jack, an analyst at the Bravado encryption trading unit, recently published a chart that emphasized that in the coming years, BTC could embark on a monumental rebound towards and beyond the impending reduction ofthe block reward. The chart, which was obtained from Brian “The Rational Investor” Beamish, an encrypted investor, showed that “we are with in the time range for a minimum around four year MA’s cyclical support”.
PlanB, also known as 100TrillionUSD on Twitter, also expressed that Bitcoin should increase in the coming years. When citing his flow-to-flow analysis (amount of existing BTC over the emission rate), he pointed out that BTC is fairly valued at $ 6,250. While this is not much higher than the current valuation of the asset, in separate tweets, he commented that BTC could reach $ 10,000 for the next bitcoin exchange, scheduled to be activated in May of next year.
Once the so-called “halvening” becomes operational, PlanB has affirmed that, considering the stock to flow rates of other precious metals, such as gold, silver, platinum, among others, the BTC of $ 3,500 will be 10 times 100 times undervalued. Therefore, if PlanB’s thesis is correct, a fair valuation for Bitcoin after the merger could be between $ 34,000 and $ 340,000.
Cryptographic product merchant Filb Filb has only played in the fabulous $ 300,000 range, he recently explained his thesis behind the $ 333,000 prediction he made in December 2018. Through the use of regression and statistical analysis, he took the huge sum of the global debt of $ 274 billion and combined with that of BTC, the current level of adoption, Filb determined that a fair valuation for Bitcoin is ~ $ 74 billion. While this indicates that BTC is currently in a logical valuation zone, Filb added that the cryptographic asset will continue to see its use increase in the coming years. In fact, taking advantage of data from Internet industry cycles, it was revealed that if all goes well for Bitcoin, $ 333,000could be in the cards.
In the cryptocurrency ecosystem there are all kinds of possibilities to predict what will happen in the near future, each specialist adds information obtained from the reality that he manages, the important thing is that each investor does his own research before placing his assets in this fabulous world of the crypto. The blockchain-bitcoin technology offers a whole world of decentralization possibilities in order to generate trust. It is waiting for new announcements.
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