The price of Bitcoin is again above $4000 but the cryptocurrency market is still under the pressure and for now, the “bearish” trend remains intact. Bitcoin is the first cryptocurrency to have existed and receive wide acceptance, it enjoys the support of both developers and users communities. Bitcoin cannot be stopped by the “hardfork” and this cryptocurrency can be accessed by everyone on the internet. The highest price of Bitcoin was above $19 000, a number of reasons have pushed Bitcoin to record highs, such as legalization of the currency in Japan for payments, boosted interest from other big countries, as well as the conclusion of a debate about the future of the cryptocurrency. When we look at the 1-year chart we can see that Bitcoin is moving in “downtrend”. Short term support and resistance levels are $3 500 and $4 500 – If the Bitcoin jumps above $5 000 that would be a “BUY” signal and the open way to $6 000. If the Bitcoin jumps above $10 000 that could be a strong signal of the trend reversal and the open way to $12 000. On the other side, if the BTC falls below $3 500 that will be a strong signal “SELL” signal and the next target could be around $3 000 or even $2 500.
Advice: The price of Bitcoin has been in the “bearish” phase since January 2018 but we can not say that the lowest price in December 2018 is the end of this phase. This is a highly speculative cryptocurrency and still very risky, I also think that there are lots of other cryptocurrencies with bigger potential and with less risk. As for the technical picture, the Bitcoin remains in bearish phase but if the price advances above $5 000, short-term traders can enter the position with the stop loss at $4 800 and take profit at $5 800 or even $6 000.
I am a professional forex, cryptocurrency and stock trader looking for more opportunities to penetrate the field. Writing, research, analysis, are all things I enjoy doing aside from the core trading practice as they provide a deeper perspective of market activity. I am well versed in technical analysis as well as sentiment behavior. I have 10 years experience in stock and currency markets ( analysis and trading), I am also an experienced cryptocurrency analyst. I have been writing business, finance, stock articles for over five years. My biggest strength is in technical analysis