- Bitcoin gained 1.25% on a daily basis despite the altcoins stellar rise.
- BTC/USD is well supported by $6,300 for the time being.
Bitcoin is trading at $6,330. The digital coin No.1 failed to return to $6,500 handle despite a strong rally of XRP, ETH, and other altcoins, while its market domination dropped from 58% to 5% in a single day. BTC/USD has gained 1.25% on a daily basis and stayed unchanged since the beginning of Wednesday.
While the cryptocurrency segment has been having tough times this year as some coins lost over 80% of their value and Bitcoin shed nearly 55%, crypto experts believe that the market will perform a U-turn pretty soon to end the year on a bright note. Thus, according to Josh Fraser, the co-founder of an open-sourced blockchain platform Origin, the recovery is around the corner as the developments in the technology sector will eventually support the market.
“We’re seeing a shift towards development in the blockchain and crypto space, which is extremely important because some of the key pain points in the space are usability and pricing. People who have written off crypto, as a result, will only be drawn back in when they see real utility, versus speculation. This will help stabilize prices and is why building usable systems is critical,” he said as cited by MarketWatch.
He is not the only guy in town with optimistic forecasts. Earlier we reported that a famous Bitcoin investor Mike Novogratz believed that the market had bottomed out, while Fundstrat's Tom Lee maintains $20,000 target for BTC by the year-end.
Bitcoin's technical picture
From the short-term point of view, BTC/USD is well supported by a confluence of technical levels clustered around $6,300 area (including a host of SMA levels, 23.6% Fibo retracement daily and 23.6% Fibo retracement weekly). Once it is cleared, the sell-off may be extended towards $6,200, where a fresh buying interest is likely to appear.
On the upside, we need to crack $6,400 (SMA200, 1-hour) and $6,430 (SMA100, 1-hour, strengthened by 23.6% Fibo retracement for the downside from $9,500 to the recent low at $6,116.
BTC/USD, 1-hour chart
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.