Will Bitcoin drop after Halving? – Bitcoin Today [May 5 2020]

Will Bitcoin drop after Halving? - Bitcoin Today [May 5 2020]

Bitcoin’s trading volume was lower on Monday compared to the latter part of last week but traders appear to be staying optimistic ahead of the expected bitcoin halving next week.

bitcoin price before halving

Bitcoin (BTC) was trading down less than 1 percent over 24 hours , with 10-day and 50-day technical indicator moving averages signaling bearish sentiment Monday. In early trading at 00:00 UTC, the world’s first cryptocurrency’s price tumbled from $8,950 to $8,533 but rebounded to $8,837 as of 20:00 UTC.

As April turned to May, spot exchange Coinbase experienced larger-than-normal volume – numbers not seen since March 13, when the exchange had $673 million in total one-day trading for BTC/USD.

Mining power has been rising steadily as the halving approaches. The halving could result in less selling pressure in the market as some miners will likely turn off some machines post-halvin

The pairing of a 50% reduction in available new supply with a reduction in the proportion of ongoing supply offered for sale in the market might drastically reduce the persistent selling pressure caused by miners

As this article is a few hours old, you can see we’re already over the $9,000 mark. So optimism… all-time high!

Ethereum’s network is experiencing its busiest days in 10 months amid increased issuance of stablecoins and the runup to Ethereum 2.0.

stable coinmarket ethereum 2.0

Stablecoins are cryptocurrencies that offer price stability characteristics by pegging their value to some external reference, usually the U.S. dollar.

These include Tether (USDT), trueUSD (TUSD), gemini dollar (GUSD), paxos standard (PAX), binance USD (BUSD) and USD coin.

The market capitalization of major stablecoins has risen from $3.5 billion to over $7 billion over the last two months

Some observers think the crisis has boosted stablecoins’ appeal as less-volatile instruments of transferring value on-chain.

The recent growth in Ethereum’s transaction count is accompanied by a stellar rise in price. At press time, the second-largest cryptocurrency is trading around $205 on major exchanges, representing a 127% gain on the low of $90 observed on March 13.

Now if you don’t know a stable coin is, basically this company says hey, I have a cryptocurrency that represents the value of One dollar and so for every cryptocurrency coin in circulation the company actually holds one U.S. Dollar to back that amount. So for example, if they’re 200 billion of USDT the company that started USDT actually has to have 200 billion on hand.

Bitcoin has again rallied sharply in the weeks leading up to its impending halving event. But if historic patterns are anything to go by, the cryptocurrency could suffer a temporary price pullback following the supply-altering event.

The term “halving” refers to a programmed-in event in bitcoin’s code, which reduces the reward per block mined by 50% every four years to control inflation. Following the upcoming halving, rewards issued will drop to 6.25 BTC from the current 12.5 BTC.

bitcoin price prehalving month

You can see here, a chart of every single halving. When the first halving happened, it dropped from $13 to $10. The second halving jumped from $650 to $750 and then dropped back down to $600 and this is what we’ve seen so far coming into the third halving.

Now if you watched the video on the Bitcoin halving that we did on this channel we talked about this exact same thing. A lot of people are pumping the story of the Bitcoin halving but didn’t actually look at the statistics of what happened during the previous ones. So if you really look at it, not much changed after halving. It wasn’t until four or five months after that, that we saw a big upswing.

Reference articles
Bitcoin Dips to $8.8K but Optimism Seen Continuing Ahead of Halving
Stablecoins Push Ethereum’s Transaction Count to Highest Since July 2019
Bitcoin Price May Drop After Halving, Historical Data Shows

Source: coincasso.com

Author: About The AuthorArty Bryja
Business Development Manager


Ethereum Holds Strong Above $200: A Strengthening Case for Upside

Ethereum Holds Strong Above $200: A Strengthening Case for Upside

Ethereum stayed strong above the main $200 support zone against the US Dollar. ETH price is struggling and it must surpass the $210 level to start a decent upward move.

  • Ethereum is currently consolidating in a broad range above the $200 zone.
  • The price is currently facing a couple of short term hurdles near the $210 level.
  • There was a break above a major bearish trend line with resistance near $207 on the hourly chart of ETH/USD (data feed via Kraken).
  • The pair might dip a few points, but the $200-$202 support zone holds the key.

Yesterday, Ethereum failed to extend its recovery above the $212 level against the US Dollar. As a result, ETH price resumed its decline below the $205 level and the 100 hourly simple moving average.

The price even spiked below the main $200 support zone. A new weekly low is formed near $195 and the price bounced back sharply. There was a break above the $202 and $204 resistance levels.

More importantly, there was a break above a major bearish trend line with resistance near $207 on the hourly chart of ETH/USD. The pair spiked above the 50% Fib retracement level of the downward move from the $220 high to $195 low.

Ethereum

Ethereum Price

On the upside, Ethereum seems to be facing a strong resistance near the $210 level and the 100 hourly SMA. The 61.8% Fib retracement level of the downward move from the $220 high to $195 low is also near the $210 level.

If Ether manages to surpass the $210 resistance level, it could continue to rise in the near term. The first major hurdle above $210 is near the $214 level, above which the price is likely to test the $220 level. Any further gains could lead the price towards the $230 resistance.

On the downside, there is a major support forming near the $202 and $200 levels. If Ethereum fails to stay above the crucial $200 support, the bears are likely to take control.

A daily close below the $200 support level might clear the path for a push towards the $192 support zone. Any further losses may possibly lead the price towards the $182 and $180 support levels.

Technical Indicators

Hourly MACD – The MACD for ETH/USD is slowly losing momentum in the bullish zone.

Hourly RSI – The RSI for ETH/USD is currently just above the 50 level, with a bullish angle.

Major Support Level – $200

Major Resistance Level – $210

Take advantage of the trading opportunities with Plus500

Risk disclaimer: 76.4% of retail CFD accounts lose money.

Image from unsplash.

Source: www.newsbtc.com

Author: Aayush Jindal


Ethereum Taps a “Structure Defining” Level as Traders Foresee Major Downside

Ethereum Taps a “Structure Defining” Level as Traders Foresee Major Downside

  • Ethereum’s recent decline has led it down to $200 as it continues underperforming both Bitcoin and many of its other peers
  • Analysts are now noting that the crypto is trading at a “structure defining” level
  • Its technical weakness may be enough to define its market structure as being bearish, thus catalyzing further near-term losses

Ethereum has continued underperforming the aggregated cryptocurrency market as it drifts down to its key support at $200, leading analysts and investors alike to grow increasingly bearish on its near-term outlook.

This weakness has led one analyst to note that he believes ETH is positioned to see significantly further downside before it is able to climb higher, with a failure for it to pump in the near-term being a dire sign for its mid-term outlook.

Analysts are also noting that Ethereum appears to be trading at a “structure defining” level, meaning that this weakness could cause it to form a bear-favoring market structure.

At the time of writing, Ethereum is trading down just under 5% at its current price of $204, marking a massive decline from its weekly highs of over $230, and only a slight climb from weekly lows of $195.

This price action has marked a severe underperformance of Bitcoin, and although the benchmark crypto is only trading down slightly from its recent highs, Ethereum’s decline has led it to erase nearly all of the gains incurred from its sharp climb seen last week.

Because ETH has been unable to capture the stability seen by Bitcoin and many of its other peers, this could suggest that the recent movement was not backed by significant spot buying pressure, making this the result of margin traders taking profits and exiting their positions.

One analyst on Twitter recently noted that this decline has led Ethereum to what he describes as a “structure defining level” that could have serious implications for how it trades in the days and weeks ahead.

“ETH – Structure defining level here,” he said while pointing to the below chart.

What future awaits cryptocurrencies?
GOODBAD

Image Courtesy of HornHairs

Another popular crypto analyst and trader offered an extremely bearish outlook on ETH, explaining that its current market structure suggests that it will see continuation of its bearish trend.

“ETH / USD 3D TF – As you can see Market structure is still very much in favour continuation of the Bearish trend,” he explained.

Ethereum

Image Courtesy of Escobar

While looking towards the chart he offers above, it appears that he anticipates this weakness to last until the latter part of 2020 and lead the crypto well below the $100 region.

It does seem as though this possibility could be invalidated if Ethereum is able to incur some intense near-term momentum that sends it into the upper-$200 region.

Featured image from Unplash.

Source: bitcoinist.com


Bitcoin, Ethereum & Ripple - American Wrap: 5/4/2020

Bitcoin, Ethereum & Ripple – American Wrap: 5/4/2020

Bitcoin is hovering below $9,000, unable to clear the resistance amid heightened market uncertainty and anxiety ahead of the halving. US-China tensions add more fuel to the fire and make traders less inclined to open long-term positions.  Instead, many market players prefer to cash out once their positions turn green. 

Bitcoin’s correlation with the S&P 500 is back on the agenda as the sell-off on the cryptocurrency markets coincided with the resumed bearish momentum on the US stock markets. However, eToro experts believe, there is a chance that BTC moves above $10,000 even before the block reward is halved.

ETH/USD touched the intraday low at $195.17 and recovered to $199.50 by press time. The second-largest digital asset attempted a recovery above $219 on Sunday, May 3, and has been trading with bearish bias ever since.  ETH/USD has lost over 6% in recent 24 hours and 4.5% since the beginning of Monday. 

Currently, 35% of Ethereum addresses are in the money. About 1.63 million addresses holding 3.36 million ETH have their breakeven point in the range from $202 to $216. Once this area is cleared, the upside momentum may gain traction with the next focus on the recent high at $227.36.

Ripple has fallen overall on Monday but the has been a bounce off the 55 exponential moving average. Technically the chart is still a bullish one as the trend is still firmly in an upward trajectory. The only issue is there have now been two lower high waves but the support of the 0.21 psychological wave low is holding firm at present.

Looking at the indicators, there was a clear volume spike marked by the circle. This points to a buyers market until there is a selling wave with higher volume it seems the bulls are still in charge. 

Image sourced from Pixabay

Source: www.benzinga.com

Author: FXStreet , Benzinga Contributor

 

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Cryptocurrencies Price Prediction: Bitcoin, Ethereum & Ripple – American Wrap 4 May

Cryptocurrencies Price Prediction: Bitcoin, Ethereum & Ripple – American Wrap 4 May

Bitcoin is hovering below $9,000, unable to clear the resistance amid heightened market uncertainty and anxiety ahead of the halving. US-China tensions add more fuel to the fire and make traders less inclined to open long-term positions.  Instead, many market players prefer to cash out once their positions turn green. 

Bitcoin’s correlation with the S&P 500 is back on the agenda as the sell-off on the cryptocurrency markets coincided with the resumed bearish momentum on the US stock markets. However, eToro experts believe, there is a chance that BTC moves above $10,000 even before the block reward is halved.

ETH/USD touched the intraday low at $195.17 and recovered to $199.50 by press time. The second-largest digital asset attempted a recovery above $219 on Sunday, May 3, and has been trading with bearish bias ever since.  ETH/USD has lost over 6% in recent 24 hours and 4.5% since the beginning of Monday. 

Currently, 35% of Ethereum addresses are in the money. About 1.63 million addresses holding 3.36 million ETH have their breakeven point in the range from $202 to $216. Once this area is cleared, the upside momentum may gain traction with the next focus on the recent high at $227.36.

Ripple has fallen overall on Monday but the has been a bounce off the 55 exponential moving average. Technically the chart is still a bullish one as the trend is still firmly in an upward trajectory. The only issue is there have now been two lower high waves but the support of the 0.21 psychological wave low is holding firm at present.

Looking at the indicators, there was a clear volume spike marked by the circle. This points to a buyers market until there is a selling wave with higher volume it seems the bulls are still in charge. 

Source: www.fxstreet.com


Will Bitcoin drop after Halving? - Bitcoin Today [May 5 2020]

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