Bitcoin has grown by 25% since the end of July and has come to the upper border of the price channel in which it has been trading for the past few months. Bulls passed the area of $10600-11500, but $12000 level was impregnable. And most likely the break through will not happen. Local trend, which raised quotes from $9400 to $12000, was trading without a significant increase in volume. For a time being, buyers clearly not have enough strength to reverse the medium-term trend.
If we consider a wider picture, this idea is confirmed. Trading volumes have been falling since the end of June, a similar picture is observed on the psychological indicator of fear and greed (FGI). Both indicators are simultaneously decreasing along with the price of the main cryptocurrency, there is no divergence.
Thus, it can be assumed the following: in the short term, the nature of the movement is likely to remain in the current price channel, and the price of BTCUSD will soon begin to decline down to the level of strong local support - $9400. If this movement is impulsive and bears push the price below the zone of $9000-9400, then next strong buying interest will be near $8000.
Some market participants attribute current local growth of bitcoin to a new round of escalation of the trade war between the United States and China. The driver of quotes movement of risky and safe-haven assets was once again a tweet made by the US President. Indeed, the price of oil fell down to January values, and gold updated a 6-year high. However, unfortunately, Bitcoin is still difficult to call a safe-haven asset. Its integration into the global financial system is still in progress. From the point of view of large capital, this is primarily a risky asset and the situation will change only when the cryptosphere is regulated.
If we consider a wider picture, this idea is confirmed. Trading volumes have been falling since the end of June, a similar picture is observed on the psychological indicator of fear and greed (FGI). Both indicators are simultaneously decreasing along with the price of the main cryptocurrency, there is no divergence.
Thus, it can be assumed the following: in the short term, the nature of the movement is likely to remain in the current price channel, and the price of BTCUSD will soon begin to decline down to the level of strong local support - $9400. If this movement is impulsive and bears push the price below the zone of $9000-9400, then next strong buying interest will be near $8000.
Some market participants attribute current local growth of bitcoin to a new round of escalation of the trade war between the United States and China. The driver of quotes movement of risky and safe-haven assets was once again a tweet made by the US President. Indeed, the price of oil fell down to January values, and gold updated a 6-year high. However, unfortunately, Bitcoin is still difficult to call a safe-haven asset. Its integration into the global financial system is still in progress. From the point of view of large capital, this is primarily a risky asset and the situation will change only when the cryptosphere is regulated.
