The king coin, days after double-dipping its 100-day moving average, is chocked under the margin of $10,500. Following the massive drop from $10,800 on 6 September, Bitcoin has been rebounding from resistance after resistance and now looks to move outward.
Amid fluctuating movement, top cryptocurrency exchanges are seeing varied movement in their BTC Futures platforms. Binance and Kraken, two top exchanges saw massive trading movement over the past weekend. Although Binance’s market maker activity was attributed to an “accident,” as per CZ’s tweets, Kraken’s massive whale-like activity, expanding the XBT wick from $12,000 to $8,000 drew more concerned eyes.
Source: Trading View
In the short term hourly chart, Bitcoin is looking to be squeezed in a pennant like formation. The evidence for the same is the flagpole presented on 6 September, which marked a massive 4.34 percent drop in Bitcoin’s price. The drop planted the price below $10,500, from which the king coin has not managed to break out of, over the past 10 days. Another evidence of the same can be higher highs seen from 11 September, with the price peaking at $10,334, $10,400, to $10,425, lower lows were also witnessed at $10,046, $10,215, and $10,280.
To add on to the same, a resistance line that looks to be forming a base to a descending triangle is planted at $10,145 which Bitcoin dipped below on 10 September but soon rose above less than 48 hours later.
With the pennant-like formation closing in on the price in the next few days, other factors need to be looked at to ascertain whether this breakout would be bullish or bearish, although it does point to the former. Volume, is on the lower end, while the Relative Strength Indicator [RSI] is fairly healthy on the 50.46 range; however, investor interest has been slipping since the 13th, when it last peaked over the ‘overbought,’ 70 zone.
Source: Trading View
Looking at the 4-hour chart of Bitcoin, the pattern presented above is repeated. Beginning in early August, with the downward sloping upper part of the pennant like formation, and finding a base only in early September, the second chart also pointed toward a squeeze for Bitcoin. The price, after teetering from over $12,000 over a month ago has been moving down consistently till the early days of the current month, which showed signs of the beginning of a meager recovery.
A drooping flagpole for this formation was seen with the falling price from 12 August – 15 August. The squeeze, once again, indicated a bullish breakout based on the chart above and the way the price is moving, at press time. However, for the same to manifest, the lines need to move closer to each other, and the same will not be materialized for the next couple of days. If a movement upward does happen, the resistance levels that will stand in the way of a BTC breakout is at $10,550 and $10,950, followed by the psychological level of $11,000.
MACD showed neutral movement, at press time, with the MACD line and the Signal line flirting with each other above 0.
All set and done, the current price movement will likely hold for a while prior to a breakout movement, if Bitcoin managed to escape the pennant with healthy technical indicators by its side.
Bitcoin technical analysis: Support levels are in focus for now
- Bitcoin is struggling once again but the price has found some support at an internal trendline.
- Below the price level at the moment is the psychological 8,000 level.
Bitcoin is struggling like most cryptocurrencies today. The BTC/USD pair is currently trading 2.63% lower as sentiment remains weak. The price on the hourly chart is making lower highs and lower lows after the pivotal 8,233.00 support level was broken. The price is currently just under the value area now 8,164.17. This is the price where most contracts have been traded on the Coinbase exchange.
The interesting thing on the chart is the internal trendline it was respected five times in total. Two times in a previous wave series and then three more times after it was broken on October 9th. The next support level is at the 8K psychological support level and below that the consolidation low of 7701.00.
On the daily chart, the price is still firmly in a downtrend and this will only continue if the wave low of 7701.00 is broken to the downside. On the upside there is some way to go before the consolidation wave high is taken out at 8,826.00. Only when this is broken can we talk about a price recovery.
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Bitcoin Whale Transfers Almost $25M in BTC from Binance to Gemini
A major player in the cryptocurrency space has just moved 3,000 BTC from Binance to Gemini. The reason for the transfer is still not clear.
It seems like yet another whale in the cryptocurrency market is again flaunting his or her money. A recent massive transfer was picked up by Whale Alert (@whale_alert) which notified the rest of the cryptocurrency community that 3,000 BTC ($25M) was being moved from Binance to Gemini.
There are a few possible catalysts for such a major move, but it seems most likely that someone is cashing out some BTC on Gemini through an OTC sale. Interestingly enough, the move came just a few hours after Bitcoin rebounded from the $8,280 price point to $8,380 or so.
Major whales have been making moves in the past few days. As BeInCrypto has reported on this past week, just two days ago one whale moved 1,000 BTC to an external wallet presumably to HODL. Another whale yesterday moved 650 BTC ($5.3M) from Coinbase to an external wallet as well, another indication that accumulation is happening behind the scenes. This uptick in high-value transfers to external wallets indicates that something may be brewing in the background.
However, this particular transfer of 3,000 BTC does not appear to be a whale interested in HODL’ing. Instead, this is transfer is likely for a possible sale or, at the very best, purchasing of altcoins on Gemini. The market has not responded to this transfer, but this is just one piece of the puzzle.
Recently, the market has been quiet, but the odd increase in high-value transfers makes one wonder — could we see a major move for Bitcoin in the coming weeks? Maybe the whales are giving us a hint.
‘Satoshi’ Enters the Oxford English Dictionary
The Oxford English Dictionary, published by the Oxford University Press, has added “satoshi” to its compendium of the English language.
First used less than seven years ago, satoshi is the newest word added to the dictionary. The addition was made as part of a quarterly update to the respected source’s database that also includes the words “Manhattanhenge,” “whatevs” and a revised history of “fake news.”
According to the now official OED definition, a satoshi is “the smallest monetary unit in the bitcoin digital payment system, equal to one hundred millionth of a bitcoin,” or 0.00000001 BTC.
OED lexicographers take a descriptive approach to language, meaning that the dictionary observes how words emerge, grow or diminish in popularity and change definitions over time.
The OED’s policy says:
“Our role is to monitor and record emerging vocabulary so that we can make new terms available to our dictionary users as soon as they start to gain traction.”
Cited uses of the noun come from Ripple Project, a Usenet newsgroup in 2012, from the Guardian in 2013 and the Times in 2017.
The OED notes American and British pronunciations differ. Stateside, the “o” in Satoshi is pronounced like the “ʊ” sound in foot, whereas across the pond the “o” sounds like the “ɒ” in “lot.”
The word is derived from the proper noun, Satoshi Nakamoto, the “probably pseudonymous” creator or creators of bitcoin. In this context, Nakamoto is an etymon, or a word from which a later word is derived.
Curiously, the authorities on grammar state Nakamoto was “reportedly born in 1975,” referring to one of the only bread crumbs left behind by the mysterious founder when asked to give a birth date on a website where he first described the plan for bitcoin.