Bitcoin Has Gained $600 for 3 Consecutive Mondays — Price Hits $7,400

Bitcoin Has Gained $600 for 3 Consecutive Mondays — Price Hits $7,400

#Bitcoin price now down less than 10% since one of its worst crashes in history last month

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Bitcoin (BTC) bulls showed up early Monday morning and took full control of Bitcoin price by sending the price through the $6,900-$7,200 resistance zone to a nearly 4-week high of $7,454. The surge to $7,454 occurred as the United States’ markets opened strong, leading the S&P 500 and Dow to rally 7.03% and 7.73%, respectively. 

It seems investors are beginning to gain some confidence as the rate of novel coronavirus infections begins to slow down in Italy, Spain and China along with murmurs of additional financial stimulus packages from governments. 

Crypto market daily price chart

Crypto market daily price chart. Source: Coin360

BTC price bullish but the future is in flux

Bitcoin’s strong upside move pulled the price above the rising wedge trendline and through the $6,900 level which has functioned as a strong resistance since March 20. Earlier in the day, crypto trader Pentoshi pointed out that “BTC has now printed 3 consecutive $600 plus Mondays.”

As shown by the 4-hour chart, the price stopped just short of reaching a higher high above $7,460, a point which marked the beginning of Bitcoin’s catastrophic 52.84% drop to $3,775 on March 12. 

BTC USDT 4-hour chart

BTC USDT 4-hour chart. Source: TradingView

Since topping out at $7,454, the price has corrected slightly, dropping to $7,227. After an 8.83% daily move and a 95.85% move over the past month, it is completely natural that a retest of lower levels occurs as some traders take profits and former resistance levels are then tested as support. 

Therefore, a pullback to $7,200 and the rising wedge trendline at $7,150 seems likely. Even a pullback below the wedge trendline to $6,980 is on the cards. In the event that the aforementioned levels fail to hold as support, Bitcoin is likely to find buying interest at $6,900, $6,750 and $6,200. But such a strong retrace might damage the current narrative that the price has flipped bullish in anticipation of the halving event, that’s now just 36 days away. 

A more desirable outcome for bullish investors would entail the price retesting $7,200-$7,150, followed by an upside move to $7,460 where the price would then consolidate, or on a high volume surge, continue up toward making a higher high at $8,000. 

Daily timeframe 

BTC USDT daily chart

BTC USDT daily chart. Source: TradingView

On the daily timeframe, Bitcoin price has cleared the majority high volume VPVR node at $7,180-$7,429 but the price was halted right at the 50-day moving average. If the 50-DMA can be flipped to support then gains to the 200-DMA at $8,100 are likely but as suggested by Cointelegraph contributor filbfilb, overcoming $8,000 might not be as easy as a walk in the park. 

On Monday, filbfilb said: 

“$8,000 is the key level the bulls need to reclaim before the market could be considered as being back in a bull market.”

Filbfilb further explained that:

“Above the 100-WMA is a cluster of resistance, along with the 20-WMA which typically defines whether Bitcoin is in a bull or a bear market. In addition, both the 100 and 200-week moving averages are in this area and both have played an important role as resistance in the past. Amongst the moving averages is also the yearly pivot point at $8,100.” 

As it stands, if the Bitcoin price was able to flip $8,000 to support and overcome the 200-day moving average, considerable resistance is likely to kick in from $8,500 and many analysts are calling for traders to go short from the $8,500 to $8,000 zone. 

Less fear but no greed

Crypto Fear & Greed Index

Crypto Fear & Greed Index. Source: alternative.me

Currently, the Crypto Fear & Greed index shows a noticeable improvement in investor sentiment. 

Since April 6, the sentiment index has risen from 12 to 20 — the highest value since the March crash — which is a clear indication that investors are beginning to feel positive about Bitcoin’s future prospects after the strong recovery from $3.775. 

Nevertheless, a value of 20 still represents extreme fear. Given that Bitcoin price has risen 95.85% since March 13, there is always the possibility of a sharp multi-day pullback as traders take profit or are squeezed from leveraged positions. 

Looking forward

The price now sits above the 50% Fibonacci retracement level and ($7,141) and turn the 50-MA ($7,487) to support would open the door for a shot at $8,000, which is also closely aligned with the 61.8% Fibonacci level. 

Usually, the 61.8% level acts as resistance when the price trades below in a prolonged downtrend and when Bitcoin is in a sustained uptrend, the level functions as support. 

Given the current positioning of the 100 and 200-day moving averages around $8,000, and the proximity of the 61.8% level, we can expect the $8K handle to be a point of contention.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk. You should conduct your own research when making a decision.


Zur Quelle
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#Bitcoin price now down less than 10% since one of its worst crashes in history last month

New Analysis Finds That Mondays Are the Best Days to Buy Bitcoin

New Analysis Finds That Mondays Are the Best Days to Buy Bitcoin

Long-term data from Cointelegraph Markets identifies Monday as the best day of the week for Bitcoin returns

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This week saw Bitcoin price (BTC) hitting the $9,000 barrier amid the launch of CME Bitcoin options and Plaid’s acquisition by Visa, reaching a record price for the last two months. 

Bitcoin’s 27% price gain since the beginning of the year along with the future bullish scenarios laid down by investors may attract new crypto holders. But since BTC/USD is traded 24/7, new investors may be wondering: is there a difference between investing on a particular day of the week?

Crypto market data, 1-day performance

Figure 1. Crypto market data, 1-day performance. Source: Coin360

The basis of a difference in a day of a week returns comes from traditional stock markets. It has been shown that stock returns on Mondays are, on average, negative. This is called the Weekend Effect. One explanation is that the effects on a particular stock will only be felt on Monday since the market is closed during the weekend. However, the cryptocurrency market is always open: Could we expect the same behavior on Mondays for Bitcoin?

Bitcoin weekly trend in 2019 

Analyzing Bitcoin returns from the beginning of 2019 until Jan. 13, 2020, data shows that Fridays present the highest average return across the days of the week at 1.1%. In contrast, only two days of the week show negatively average returns, Tuesday (-0.24%) and Thursday (-0.97%). 

If an investor only started investing at the start of 2019 on a particular day of the week, Friday would present the best cumulative return, followed by Monday (Figure 2). Taking Fridays as an example, it’s assumed that the strategy would be to buy BTC closing price on Thursdays and sell it at the closing price on Fridays. 

The closing prices (UTC timezone, a rolling 24-hour period) are used for simplicity reasons since the desired time to buy and sell during those days is based on the investor’s preference. The same buy/sell rationale applies if another day of the week is chosen to conduct the strategy (i.e. Monday).

Cumulative Return for investing on a specific day only between January 2019 and January 2020

Figure 2: Cumulative Return for investing on a specific day only between January 2019 and January 2020

Bitcoin weekly trend in the long-term

Taking a deeper look at Bitcoin returns for a longer time period, as seen from Figure 3, we can conclude that Mondays offer the best average return from all the days of the week (0.54%). 

On the other hand, Thursday and Wednesday are the worst days of the week to invest in Bitcoin with an average return of -0.09% and -0.23%, respectively.

Bitcoin’s Monday anomaly case is reinforced from a statistical perspective since Monday is the only day of the week with a statistically significant result from the used regression models. 

Curiously, as a truly anti-status quo coin, Bitcoin shows a mean positive return on Mondays, in contrast to traditional stock markets’ Weekend Effect. 

Average Daily Return for each Day of the Week between April 2013 and January 2020

Figure 3: Average Daily Return for each Day of the Week between April 2013 and January 2020.

Using the same long-term sample starting in April 2013, an investor choosing exclusively one day of the week as a strategy would get the best option by choosing Mondays, followed by Saturdays, as seen from Figure 4.

Cumulative Return for specific day investment during the entire sample analyzed (Between April 2013 and January 2020)

Figure 4: Cumulative Return for specific day investment during the entire sample analyzed (Between April 2013 and January 2020)

Day of the week during market bubbles

We cannot ignore Bitcoin’s explosive gains from two highly volatile periods seen in 2017 and how those influence the average returns for the longer time sample. By isolating that year, we find that Monday still shows the highest average return (1.5%) across the days of the week, followed by Thursday (0.55%).

Average Daily Return for each Day of the Week between during 2017

Figure 5: Average Daily Return for each Day of the Week between during 2017

In summary, Bitcoin’s unique features reveal an opposite behavior to traditional stock markets, showing a positive average return on Mondays when considering wider time periods. However, when dealing with shorter time frames, we identify Fridays as the day with the highest average returns across the days of the week. 

As reported by Cointelegraph, a study in September 2019 showed that Bitcoin holders make a profit after an average of 1,335 days, or roughly three years and eight months. Overall, holding BTC has been profitable for over 94% of days Bitcoin has existed, according to the latest data from Bitcoin Hodl Calculator.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk. You should conduct your own research when making a decision.


Zur Quelle
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Long-term data from Cointelegraph Markets identifies Monday as the best day of the week for Bitcoin returns

CCN Casts Doubt on Shutdown Plans as Google Appears to Correct Visibility

CCN Casts Doubt on Shutdown Plans as Google Appears to Correct Visibility

After Monday’s announcement of a shutdown, crypto media outlet CCN reports that they are reconsidering after receiving more Google visibility from their previous domain name

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Cryptocurrency news outlet CCN.com (formerly CryptoCoinsNews) has U-turned on its abrupt decision to shut down, staff confirmed in an article on June 12.

CCN, which on Monday published a warning that it would cease operations immediately over an ongoing Google indexing debacle, says it is still working to understand changes in its online visibility.

As Cointelegraph reported, an update to Google’s algorithm allegedly produced an instantaneous 70% drop in traffic for CCN, with executives subsequently saying they had no choice but to abandon the project.

Now, support from Google has apparently changed the plans for a total shutdown, thanks to further unanticipated behavior from algorithms, which are reportedly flagging articles under CCN’s old CryptoCoinsNews identity.

“While we’ve been working in the dark, trying to get to the bottom of our massive visibility drop on Google, a friendly helper in Google’s forum mentioned that ‘CryptoCoinsNews.com’ — our previous domain — is reappearing in Google searches,” Wednesday’s update, written by CCN Markets director Jonas Borchgrevink, states.

Borchgrevink adds:

“That was a massive surprise for us as I personally requested a domain name change in 2017 from CryptoCoinsNews.com to CCN.com. Since that change, ‘Cryptocoinsnews.com’ was effectively absent on Google. Now it’s back and is inexplicably using recent 2019 articles from CCN.com. This is abrupt and confusing.”

Commentators had also claimed that all cryptocurrency media sites except one — Bitcoinist — had suffered as a result of Google’s update. However, Cointelegraph’s traffic was not actually affected by the Google Core Updated as previously reported.

The latest events do not guarantee a full return, the publication added, and attempts to correct the initial drop continue. CCN’s initial announcement of their closure had also noted that they would be moving the CCN team to HVY.com, a news platform for journalists.


Zur Quelle
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After Monday’s announcement of a shutdown, crypto media outlet CCN reports that they are reconsidering after receiving more Google visibility from their previous domain name