Bitcoin continues decline – analysis course for 28 may and forecasts

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Bitcoin continues to trade in the downward channel for a short period he managed to stay above the level of $7300, but the decline resumed in the early hours, before there was buyers were able to raise the price. Market capitalization declined to $122 billion.

April could be called a favorable month for bitcoin, but may a good news is not good news. Experts say that the cause of the fall was not only a natural correction program, and market manipulation. The U.S. Department of justice launched an investigation to confirm or refute the fact of traders misconduct. Cryptocurrency bulls enthusiastically reacted to the news. Billionaire Mike Novogratz said: “This approach will help to displace the “bad actors” from the market. Those artificially inflated volumes create excitement and contribute to the depreciation of the currency.”

The technical picture

According to all forecasts, bitcoin will continue to fall. The currency pair BTC / USD fell below the important support line is $7400. If in the near future bitcoin it will not come back, the first cryptocurrency will continue to fall to $7000, and possibly to the April lows of $6480. If the market will turn around and the bulls aktiviziruyutsya, recovers to the level of $7683 (23.6% of Fibonacci) and then to $8000. While trading below the Ichimoku cloud, MACD indicator also indicates a continuation of the downtrend.

Previously on this topic in the news:

21.05.2018: 5 factors that affect the price of bitcoin

The price of bitcoin has always had tremendous volatility. 2 months of 2017, the rate has increased by 223%, and just as easily fell by 60% in January-February 2018. What factors provoke the UPS and downs of the digital currency, and affect its value?

5 factors affecting the price of bitcoin:

  • Supply and demand. Like any currency, bitcoin is affected by supply and demand. Mining bitcoins is similar to gold mining. Gold supplies are limited: to bring it to market, people need to get it. Also with hashing: the more people want to get bitcoin (and at the moment produced 17 million coins) – the higher its price.
  • Media. Fiat currency is less influenced by newsthan cryptocurrency. Positive news contributes to higher prices, the negative can derail the course. Stores that accept cryptocurrency as payment, companies that adopt the bitcoin system known investors who believe in digital assets – such news is going to benefit and enhance the credibility of virtual money. For example, the operator BitPay recently announced that it will be possible to pay taxes in Bitcoin.
  • The policy changes. Bitcoin is not controlled by the government and financial institutions – that’s why people paid attention to it. However, an official ban of the use of cryptocurrency (Pakistan, Kazakhstan, China, India and other countries) contribute to the depreciation.
  • State regulation. Decision regulating the use of digital currency can cause major fluctuations. For example, when Japan has recognized bitcoin as legal tender, the price of the asset began to grow rapidly. While the official means of payment bitcoin recognized a few, mostly the government equates it to the property.
  • Change the rules of the system. We will focus on hardforce – branches from the already existing cryptocurrency. There is a new currency, with similar characteristics, but working by different rules. Typically, the hard forks , the demand for bitcoin increases.
  • Experts believe that due to the fact that a reduced amount of bitcoins will continue to grow demand for them. Many predict that by the end of 2018, the first cryptocurrency would cost $20 000.

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    21.05.2018: bitcoin’s Rally is cancelled! Whether admitted his mistake – analysis course for may 21 and projections

    Bitcoin is attempting to break resistance at $8500 and go up. During the day its value increased by 3%, but large-scale rally is out of the question. On the way to $9000 and above, there are a number of obstacles.

    Positive sentiment returned to the cryptocurrency market after bitcoin pulled back from the level of $8000. On Sunday, the first cryptocurrency managed to break through the important resistance zone at the level of $8400created by the 50-day moving average. A breakthrough has intensified bullish momentum, and now the pair BTC / USD $8500 amid rising trading volumes.

    Investors are deeply disappointed that the forecast Volumes about 2018 Consensus did not materialize. Even the fortune teller admitted his mistake, because despite the fact that participation in the conference hosted more than 9,000 attendees, and the event broke records for attendance, the exchange rate of bitcoin is not affected. Tom Lee stated that the rally had 3 conditions:

  • Institutional repository/tools.
  • The participation of banks and investment managers.
  • Regulatory certainty.
  • Progress on item 3 was not at all. The only cryptocurrency, which this week increased by 50%, was zcash for, but it is only with add it to the listing Gemini. Despite the error, it still expects that by the end of the year bitcoin will be worth $25 000.

    The technical picture

    While the bitcoin exchange rate is above the 100 and 200-day moving average. To maintain positive dynamics, the cryptocurrency should remain above the level of $8400. The growth potential is still limited to a level of $8600. As soon as digital currency strengthens above this line, it will be able to go to the next target – $8800. A break of $9000 is possible only when you activate a bullish movement. The RSI is in the neutral zone, so the potential for growth of bitcoin has.

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    18.05.2018: Bitcoin is no longer popular! China has made a rating of TOP 10 cryptocurrencies

    China has published a ranking of the TOP 10 most popular cryptocurrencies. Digital assets were assessed according to 3 criteria: technology, innovation, application. The results are shocking: Bitcoin was not included even in the top ten.

    Considered 28 of cryptocurrency, the rating is as follows:

  • First place went to an Ethereum – he was awarded maximum scores in innovation and technology.
  • Steem – cryptocurrency social network Steemit to distribute content. The platform is characterized by high transaction speed and reliability.
  • Lisk. A decentralized platform for building applicationsbased Ethereum developers that left the project.
  • NEO. Competitor broadcast, also is a platform with smart contracts for decentralized applications.
  • Komodo. Digital currency combined quality and zcash for bitcoin. A high degree of protection through innovative protocols, secure payment system.
  • Stellar. The platform is designed to facilitate the exchange of Fiat currency and cryptocurrency, as well as payments.
  • Cardano. The blockchain is the platform for building smart contracts and decentralized applications.
  • IOTA. The platform to sell thingswith a high level of protection and its own cryptocurrency.
  • Monero. Currency with a high degree of anonymity, her “trick” – a ring signature by which it is almost impossible to trace transactions.
  • Stratis. A platform for building decentralized applications and implementing them in companies.
  • Ripple the Chinese are not appreciated – it is set in 17th place, Litecoin 21, Bitcoin Cash appropriated in 25th place. Closes rating token NEM. Bitcoin modestly housed in 13th place. For innovation, he was awarded the highest score, but the development of technology of “digital gold” has failed.

    Recall what your rating was and the U.S. Agency Weiss Ratings, in this bitcoin also received a low rating.

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