During the summer, we warned investors about the upcoming corporate underperformance and downgrades in forward guidance for the third quarter of 2022. We also stated that this would mark the transition from the first stage of the bear market into the second stage. Interestingly, we have noticed a similar trend in the cryptocurrency community. Numerous social...
Yesterday, Bitcoin broke above the 17 000$ price tag in spite of a strong message coming out of the European Central Bank (ECB). The official Twitter account of the ECB tweeted that the price of Bitcoin is artificially held up (at the moment) and that soon it will embark on a journey to irrelevance. This is an unusual statement from the European officials, leaving...
Over the weekend, news came out that $1.5 billion worth of Bitcoin was moved off the Coinbase exchange within less than 48 hours. In our opinion, this highlights high anxiety even among prominent market participants. Therefore, we voice a word of caution over the coming weeks. We believe more cryptocurrency exchanges will fall victim to improper money management,...
Yesterday, we touched on the subject of people leveraging their positions in an attempt to catch Bitcoin’s bottom. We also expressed concerns about the current bounce in the cryptocurrency market being the usual “FOMO” (fear of missing out) among investors. Additionally, we noted that the tighter economy is here to stay, likely foreshadowing more trouble ahead....
Over the past two weeks, Ethereum enjoyed much attention, with media coverage about FTX’s hacker dumping his holdings on the market. Some of the recent activities in “FTX accounts drainers” - based on information from Etherscan. FTX accounts drainer 1 - 0x59ABf3837Fa962d6853b4Cc0a19513AA031fd32b 19th November 2022 - Ethereum balance = 250 735 ($305...
Yesterday, Bitcoin made a new yearly low at 15 479$. Furthermore, based on information published by various news outlets, Genesis Global Trading Inc. warned its investors about potential bankruptcy proceedings. As a result, this exchange joins our list of deeply troubled cryptocurrency institutions. Some of the troubled financial institutions in 2022 include:...
Bitcoin continues to trade choppy near the 16 700$ price tag. On the daily chart, RSI, MACD, and Stochastic trend sideways, which is a sign of improvement compared to the preceding two weeks. However, we remain bearish as we do not expect fundamental factors to get better anytime soon. With the FED staying hawkish, we believe there is much more downside for the...
Today, we prepared for our audience a concise article about the adoption of Bitcoin in El Salvador. Some facts about El Salvador El Salvador is a South American country of 6.5 million people and a GDP of $28.73 billion. Interestingly, El Salvador is one of three Latin American countries using the U.S. dollar as their national currency. The country's population...
With BlockFi added as another troubled company to our long list, we continue to be bearish on Bitcoin and the overall cryptocurrency market. We believe that FTX's domino effect is still underway, and more companies will start coming forward to announce damages incurred in this cryptocurrency exchange fiasco. As a result, the industry will see the rise of more...
Over the weekend, the price of Bitcoin slumped below 16 000$ before erasing some of its early losses. Currently, the price of one coin trades near 16 600$. So far, we have not changed our bearish view and remain committed to the price target of 15 000$. Illustration 1.01 Illustration 1.01 shows the daily chart of BTCUSD and support/resistance levels. ...
For weeks, we have warned investors about the unsustainable rally in the cryptocurrency market, and now, our price target of 17 500$ was finally hit. That comes to us as no surprise since we reiterated several times that no double bottom occurred and no primary trend reversal was on the horizon; already, in February 2022, we stated that no all-time high would...
Bitcoin is up more than 5% after an overnight move. Despite that, we remain unshaken by the rising volatility and stick to a bearish outlook for the rest of 2022. At the moment, however, we will pay close attention to volume, price, and sloping resistance. If the price breaks above the sloping resistance, it will further bolster a bullish case for Bitcoin in the...
Today, we await a much anticipated FED meeting, with central bankers expected to raise interest rates in the range between 75 bps to 100 bps. Over the past few weeks, we said that more rate hikes would put additional pressure on the U.S. economy and drag it into a deeper recession. As a result, we expect such a period to be accompanied by risk aversion, leading to...
Right after Jerome Powell's speech, the stock market dropped sharply, dragging cryptocurrencies with it. As a result, Bitcoin fell approximately 6%, dropping below 21 000 USD and subsequently below the immediate support. That is particularly bearish as this development constitutes a new low for BTCUSD, further confirming the downtrend. As if it was not enough,...
During the last week, we gave market participants an ultimate warning about the impending reversal in the market. Soon after we argued the top of the bear market rally might be in, Bitcoin fell more than 15%. A change in our short-term view is mainly influenced by technical factors, which point to the return of intense selling pressure. Indeed, we believe the...
Prior to the FED meeting, we speculated that the rally could falter with another rate hike. However, after the 2.04% decline following the FED decision, Bitcoin erased its early losses and made a new high at 21 473$. That is a bullish development, although we still remain bearish for the medium and the long term. Indeed, after a brief period of bullishness, we are...
Two days ago, Bitcoin broke above the sloping resistance, which is bullish in the short term. However, then it quickly erased gains, and the breakout became invalidated. So far, despite the ongoing rally in the stock market, the price action in Bitcoin has remained muted. We believe that reflects a lack of risk appetite among market participants. Indeed, at the...
With the market, Bitcoin saw a sharp reversal yesterday and retraced back into the proximity of the 20 000 USD pricetag. In our opinion, this price action, once again, represents merely a short-lived bounce predestined to falter later. However, we can not ignore the odds of this price action continuing a little bit further. Therefore, for more clues about the...