Bitcoin is all about: how likely is a final capitulation?
After a little momentum last week, Bitcoin spent most of the weekend consolidating. The bitcoin price has been fairly flat over the past two weeks – and analysts are now considering the unpopular possibility of final surrender.
Bitcoin: Both bulls and bears are ready
The cryptographic markets saw a small increase on Friday, which led to BTC temporarily rising above $ 7 500 $ on Saturday , A Sunday dip on 7 500 $.
Since the big dump of In November, Bitcoin stayed at this level. There were two green weekly closings, but not nearly enough to make up for last month's massive red candles.
The general sentiment is mixed at the moment, with a number of analysts considering the possibility of another capitulation. Because: The charts are starting to look similar to last year's patterns when BTC dumped into the $ 3k zone.
Trader and analyst Jacob Canfield has interviewed some of his followers to assess the sentiment of the two hostile groups of Bitcoin bulls and bears.
Not surprisingly, the ratio is 28 / 50. Of the approximately 1 500 respondents, just over half were bullish, the remainder bearish. Another sentiment measure is the “Bitcoin Fear and Greed Index”, which is currently 50
Any further case from here is likely to lead to a re-test of the area around $ 6 first However, a final surrender could even lead to prices being set to 5 0 $ fall.
When is the halving pump coming?
However, halving is likely to produce FOMO soon. There is usually a small upswing ahead of the event, but we still have about six months left. A final shake-out could be the last good buy opportunity in front of a bull market after halving in the year 2020.
Trader and analyst Josh Rager also notes that markets are still looking the same as last year's accumulation phase.
It is also very likely that this consolidation will continue until the turn of the year as traders pause during the festive season.
Either way, as history repeats, there will be a big upward pressure on halving, as it did in the last two. Economic principles such as stock-to-flow models are hard to ignore – especially when the world's banks are doing their best to devalue traditional currencies.
Whatever happens in the short term at Bitcoin: It should not deter investors, but it could annoy the day traders who are responsible for all this volatility!
Text Proof: newsbtc
Last update: Monday, December 9 2019