The Dollar Index (DXY) and Bitcoin have an intriguing correlation. Afterall, Bitcoin is developed as an alternative to U.S Dollar and other fiat currencies. DXY is a useful correlation comparison to track because, in this case, when the dollar is strong, Bitcoin is weak, and vice versa.
Technical Analysis
We think that the volatility we have been seeing since Oct 2021 is a part of a larger upswing as long as Bitcoin holds the $14,000 mark.
It's critical to remember that, over the past 10+ years, the number of Bitcoin transactions and users has increased steadily, with only modest setbacks.
The probabilities will be even more in favour of the beginning of a final 5th wave push higher if Bitcoin can break over the $32,000 level and maintain a push above this zone.
Mass Psychology
Bitcoin's price is unaffected by earnings announcements, management changes, or supply chain interruptions. In other words, despite the fact that the crypto market fluctuates often, there isn't much news that affects it. It's human instinct to think that a news event is the cause, but with crypto, this is just not the situation. Technical analysis is extremely effective in the crypto markets because human sentiment is the main factor driving prices.
Any time people engage in trading an item with their innate desire for security acting as the dominant motivator in a formal setting, patterns in price history emerge. What we are measuring is this. An uptrend volatility that has potential to reach 29000 mark, Current level is holding at the peak of first major bull run, 13800 is the second level which represents investor confidence.
Cause of Concerns
The amount of bankruptcies and restructurings that have occurred, as well as the capitulation of miners who are being compelled to sell their Bitcoin holdings or even cease operations, are the largest causes for concern.
Although there is compelling evidence that, at the absolute least, this capitulation is about to come to an end, there is also reason to believe that Bitcoin's price may decline slightly over the next several weeks.
Upcoming Events
In 2021, the Mt. Gox Rehabilitation Plan was implemented to pay creditors. Creditors were notified through email on July 6th that the "Rehabilitation Trustee" was about to make payments. All of this suggests that these creditors could get about $3 billion worth of Bitcoin within the next few weeks. It's hard to anticipate whether creditors will sell or hold their Bitcoins.
DISCLAIMER
---------------
This publication is designed to provide accurate and authoritative information in regard to the subject matter covered. It is distributed with the understanding that this information shall not be construed as an investment advise or endorsing any methodology. The cases included in the report are not an endorsement of the people, products, or firms mentioned in the cases; investment product returns are unpredictable.
Technical Analysis
We think that the volatility we have been seeing since Oct 2021 is a part of a larger upswing as long as Bitcoin holds the $14,000 mark.
It's critical to remember that, over the past 10+ years, the number of Bitcoin transactions and users has increased steadily, with only modest setbacks.
The probabilities will be even more in favour of the beginning of a final 5th wave push higher if Bitcoin can break over the $32,000 level and maintain a push above this zone.
Mass Psychology
Bitcoin's price is unaffected by earnings announcements, management changes, or supply chain interruptions. In other words, despite the fact that the crypto market fluctuates often, there isn't much news that affects it. It's human instinct to think that a news event is the cause, but with crypto, this is just not the situation. Technical analysis is extremely effective in the crypto markets because human sentiment is the main factor driving prices.
Any time people engage in trading an item with their innate desire for security acting as the dominant motivator in a formal setting, patterns in price history emerge. What we are measuring is this. An uptrend volatility that has potential to reach 29000 mark, Current level is holding at the peak of first major bull run, 13800 is the second level which represents investor confidence.
Cause of Concerns
The amount of bankruptcies and restructurings that have occurred, as well as the capitulation of miners who are being compelled to sell their Bitcoin holdings or even cease operations, are the largest causes for concern.
Although there is compelling evidence that, at the absolute least, this capitulation is about to come to an end, there is also reason to believe that Bitcoin's price may decline slightly over the next several weeks.
Upcoming Events
In 2021, the Mt. Gox Rehabilitation Plan was implemented to pay creditors. Creditors were notified through email on July 6th that the "Rehabilitation Trustee" was about to make payments. All of this suggests that these creditors could get about $3 billion worth of Bitcoin within the next few weeks. It's hard to anticipate whether creditors will sell or hold their Bitcoins.
DISCLAIMER
---------------
This publication is designed to provide accurate and authoritative information in regard to the subject matter covered. It is distributed with the understanding that this information shall not be construed as an investment advise or endorsing any methodology. The cases included in the report are not an endorsement of the people, products, or firms mentioned in the cases; investment product returns are unpredictable.