- Bitcoin recovered from the pits above $6,000, but the double top reaction is canceling gains towards $6,300.
- The 61.8% Fib support marginally above $6,300 has to hold to prevent further breakdown towards $6,200.
Bitcoin staged a divergence marginally above the primary support at $6,000 in the hours before the close of the session yesterday. The trend has remained bullish as buyers maintain control over the price on Wednesday 15. BTC/USD had recovered above the 61.8% Fibonacci retracement level with the last swing high of $6,545.86 and a low of $5,921.42 slightly above $6,300 in the analysis published earlier on the day.
There was a struggle at $6,330 but the bearish corrections were supported above $6,300. At the time of writing the price has broken the support at $6,400 and testing the next immediate support at $6,350.
The critical resistance is at $6,500 coins while the formation of a double-top pattern as seen on the hourly chart has led to lower corrections below $6,400. If the buyers have strength to push the price back above $6,400, the sustain uptrend could ignore the double-top pattern effect. However, downward pullback is apparent and $6,300 support is well within reach.
The stochastic oscillator has been in the overbought region since the trading began today. This means that the buyers have a tight grip on the price or they could be exhausted and the sellers will eventually find an entry. A support above $6,350 is importance while $6,300 (61.8% Fib) support is crucial
In other news, it is reported that at least 18,000 BTC was transferred to BitMex wallet. This happen hours before the market started experienced the recovery in Bitcoin. The colossal BTC came from at least 17 wallets. The first wallet sent 10 BTC at 4.50 am New York Time. Significantly, thirty minutes later, 16 other wallets transferred 17,990 BTC to the same BitMEX wallet making a grand total of 18, 000 BTC.
There was short firestorm on Twitter as the crypto community speculated that a whale was moving the money, or even worse it was BitMEX trying to manipulate Bitcoin price. However, the transfer is not at all tailored at manipulating the price, but it could a normal funds movement from cold storage on BitMEX part. Such events have occurred before with Bithumb and other crypto exchanges and it is outrageous to say that BitMEX is manipulating the market since the 18,000 BTC is not event 0.1% of the total BTC coins in circulation.
Get 24/7 Crypto updates in our social media channels: Give us a follow at @FXSCrypto and our FXStreet Crypto Trading Telegram channel
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
Ripple's move above this key level could trigger nearly 50% rally for XRP
Ripple has overcome a critical resistance level and flipped into a support floor on the weekly time frame. This development happened while XRP tightly consolidated for roughly 250 days. Investors can expect XRP to kickstart a massive rally.
Optimism price outlook with nearly $90 million worth of OP tokens flooding markets on Friday
Optimism volatility has shrunk in the ours leading to the network’s cliff unlock. It joins the likes of dYdX and Sui, which have similar events on their calendars. As token unlocks are often considered bearish catalysts, investors should brace for a reaction after the event.
Top 3 Price Prediction Bitcoin, Ethereum, Ripple: Retail watches from the sidelines with a bias for shorts
Bitcoin could clear $73,777 peak as BTC bulls resurface. Ethereum might fall 10% before next leg up as ETH RSI teases with sell signal. XRP could lose $0.6000 threshold as Ripple bulls fail to show up.
Jito price could hit $6 as JTO coils up inside this bullish pattern
Jito price action shows a potential cup and handle formation. Based on theoretical measurement rules, a successful breakout could yield a 56% rally to $6.0. A breakdown of the $3.86 support level would create a lower low for JTO and invalidate the bullish thesis.
Bitcoin: BTC may have recovered, but is it out of the woods?
Bitcoin’s (BTC) upward momentum has shown a significant decline for the past two weeks or so. This development led to a bearish signal on the weekly and an uncertain outlook on the monthly.