On a weekly basis, Bitcoin prices are up one percent and in the weekly chart prices are moving inside a descending triangle with limits at $6,800 on the upside and $5,800 on the downside. On top of this, prices are consolidating in the daily chart within Aug 10 high lows. Either way, bears on in the forefront and unless otherwise there are surges below $5,800 last week’s price action might provide the necessary impetus to push prices above $7,000.
Bitcoin (BTC) News Highlights
According to Lou Kerner, the founder of CryptoOracle, a VC that invests in crypto startups, Bitcoin is functionally superior that Gold and is in fact a better store of value. This is not the first time such claims have surfaced in the crypto world.
The Bitcoin core team has been lambasted from deviating from the real purpose of Bitcoin being a medium of exchange and in their effort of turning the most valuable coin into a store of value, opinion is divided. In his own view, Kerner says investors would over the long term shift their investment and store of value from Gold to the flagship digital asset.
Furthermore, Kerner believes that the volatility we are currently seeing is common with new assets because it is still hard to price the asset and goes on to compare the growth of Amazon to Bitcoin which in its early stage was considered a bubble not worthy of investment.
Unexpectedly, Andreas M. Antonopoulos, the famous Bitcoin advocate is against the idea of Bitcoin EFT. The subject of Bitcoin ETFs is a thrilling prospect for many Bitcoin investors who believe that should the SEC give the approving nod, millions of dollars will officially sink into Bitcoin and altcoins.
However, in his view, Andreas thinks the idea is “terrible” and damaging to the whole ecosystem since the global nature of the market will undoubtedly open doors for market maker price manipulation. On top of that, investors wouldn’t enjoy any “responsibilities and rights” associated with owning the coin since they can at anytime invest in any Bitcoin related instrument without owning Bitcoins through custodians.
Click here to see the full Bitcoin Weekly Chart by Trading View
Regardless of recent buoying price action, buyers are yet to be convincingly in charge despite the one percent gain week over week gain. In our charts, we notice that prices are moving inside a descending triangle with main support zone in between June and August lows at $5,800 and $6,000 on the downside.
On the upside, we have that resistance trend line connecting recent highs at $7,000 capping gains acting as our main resistance trend line. So, as clear from the chart, we shall retain a neutral to bearish stand cognizant of the fact that sellers could resume their eight-month trend should they build up enough momentum and clear our main support zone on the downside.
Click here to see the full Bitcoin Daily Chart by Trading View
At current spot rates, Bitcoin prices are oscillating within Aug 17 high lows and most importantly within Aug 13 inverted hammer. In any case, we need strong signals before initiating longs or shorts as mentioned above.
What traders need is a break off from this consolidation following Aug 10 depreciation and while we suggest being neutral until key triggers are hit, it’s obvious that odds are stacked against buyers.
Disclaimer: Views and opinions expressed are those of the author and aren’t investment advice. Trading of any form involves risk and so do your due diligence before making a trading decision.