Bitcoin (BTC) is ready to decline further as it has begun its downtrend. The next few days are going to be crucial because we will see the market take a definitive direction. As of now, BTC/USD is still holding strong above the 21 Week EMA but it is unlikely to remain there for long. We are likely to see a major decline over the weekend. If the price does decline below the 21 Week EMA then it will be a sharp one and we might see a similar downtrend to what we have seen in the past when BTC/USD has crashed after trading sideways at the top. Now that the price has faced a rejection at the 38.2% fib retracement level, the next level we expect it to decline to is the 61.8% fib retracement level which is around $7,239 on the non-logarithmic chart.
We have seen traders become really complacent this year as everyone has been bullish on BTC/USD and it had become far too easy to do that. After the parabolic run up that saw the price tear through the $6,000 level, we saw traders become too optimistic and that optimism has still not died down despite the fact that the price has established a clear downtrend since it topped out at $13,865. Those that are bullish on BTC/USD at this point are betting on the price breaking out of the descending channel to begin another uptrend. If we see the price close this week below the 21 Week EMA, that would be a sign that we are headed down to the bottom of the descending channel in the weeks ahead. Today’s daily close will also be quite significant because CME Bitcoin Futures close plays an important role in what happens in this market.
We have seen some buying interest around the $8,915 level because retail bulls think the price should be heading higher as the CME Futures gap has already been bridged. In my opinion, it is just another bull trap. It makes very little sense to be bullish on Bitcoin (BTC) at this point. Even if you expect the price to break out of the descending channel, it is important to at least wait for confirmation of that happening.
The daily chart for BTCUSDLongs/BTCUSDShorts shows that this pair is due for a major correction. It seems to have already begun that correction. The trend line on the RSI better shows the downtrend and until and unless that trend is broken it makes no sense to expect any bullishness in the market. Please note that this ratio could decline sharply in the event of a stop hunt which is quite likely if we see BTC/USD drop below $8,800 in the near future.
Bitcoin price prediction: BTC/USD capped by resistance levels at $8,900 and $9,025 – Confluence Detector
- BTC/USD had a heavily bearish Monday, where the price dropped from $9,035.30 to $8,721.25.
- The confluence detector shows one strong support level on the downside at $8,525.
BTC/USD has had a bullish start to Tuesday and is currently priced at $8,738.65. This follows an extremely bearish Monday wherein the price dropped from $9,035.30 to $8,721.25. The daily confluence detector currently shows two healthy resistance levels at $8,900 and $9,025. On the downside, there is a support level at $8,525.
BTC/USD daily confluence detector
$8,900 has the one-day Fibonacci 61.8% retracement level and one-week Fibonacci 23.6% retracement level, while $9,025 has the 4-hour Bollinger band upper curve and one-week Fibonacci 38.2% retracement level.
On the downside, the $8,525 support level has the one-month Fibonacci 61.8% retracement level and one-day Pivot Point support one.
Stroustrup: I Don’t Like That C++ Has Given Way to BTC Mining
It’s awful when something you’ve created is being used in a bad way, and C++ software language creator Bjarne Stroustrup is feeling this firsthand, but how accurate are his thoughts?
Stroustrup: Not a Big Bitcoin Fan
Stroustrup is the builder of C++, which is a programming system that’s used to power all kinds of new software platforms – including bitcoin mining. In a recent interview, the tech genius explained that while he’s very proud of his creation on an individual level, he has no control over its uses and doesn’t always like what C++ has given rise to.
Case in point: bitcoin mining, he says, is extremely hazardous to the environment. He states that the process of extracting new coins utilizes as much energy as Switzerland uses to power every one of its homes. Furthermore, he also explains that bitcoin itself is used primarily to benefit criminals, and he’s none too thrilled about the results he’s been witnessing as of late as bitcoin is built on C++.
You try to improve the tool by looking at how it’s being used, and when people cut their fingers off and try and stop that from happening. But really, you have no control over how something is used… So, I’m very happy and proud of some of the things [that] C++ is being used [for], and some of the things I wish people wouldn’t do. Bitcoin mining being my favorite example. [It] uses as much energy as Switzerland and mostly serves criminals.
To an extent, it can be argued that bitcoin is utilized for much more than criminal enterprises, now. For one thing, Bakkt – the new crypto trading platform owned by the Intercontinental Exchange (ICE) – is giving institutional players an opportunity to trade bitcoin futures contracts, which could potentially bring a whole new wave of legitimacy not only to the coin, but to the space it’s in.
Granted more professional traders are using cryptocurrency as a means of adding to and growing their wealth, we’re likely to see bitcoin considered a solid trading and investment tool. In addition, Bakkt is also paving the way for retailers such as Starbucks to begin accepting cryptocurrency as a means of payment.
There’s More to BTC…
This has been crypto’s biggest goal all along. Most digital currencies were designed to be used as means of paying for goods and services. However, their volatility has often gotten in the way and prevented this from happening. If you use BTC to pay for $50-worth of goods, but tomorrow the price goes down, you’ll still walk off with all your items. The business accepting the payment, however, will lose money.
Granted bitcoin and other cryptocurrencies can be utilized as much as USD to pay for items in the future, perhaps some of that volatility will finally disappear.
Alibaba Partners with Lolli to Allow US Shoppers Earn ‘Free Bitcoin’
Chinese e-commerce giant Alibaba has partnered with Bitcoin (BTC) rewards shopping app Lolli, enabling its shoppers to earn 5% back in Bitcoin. Alibaba customers can now get Satoshis (sats), the smallest unit of Bitcoin currency, worth 0.00000001 BTC, when shopping “thousands of items online,” Lolli says.
World’s biggest retailer and biggest one-day shopping event
The partnership was announced on Singles Day, a shopping holiday that is celebrated in China on Nov. 11 and is considered to be the world’s biggest one-day shopping event. According to Lolli, Alibaba shoppers spent more than $31 billion on Singles Day in 2018.
Alex Adelman, CEO and co-founder at Lolli, pointed out that the new move is a milestone partnership for Lolli as Alibaba is the largest retailer and e-commerce company in the world.
“OUR PARTNERSHIP ALLOWS OUR USERS TO EARN FREE BITCOIN ON MILLIONS OF PRODUCTS ONLINE EVERY DAY. ARGUABLY THE MOST IMPORTANT PIECE OF THIS PARTNERSHIP IS THAT IT SUPPORTS OUR MISSION OF CONNECTING THE ENTIRE WORLD THROUGH COMMERCE.”
Feature is only available in the United States
According to a Coindesk report, the new program will only be available for purchases in the United States. Aubrey Strobel, Lolli’s head of communications, reportedly claimed that residents in China will not be able to participate, and products would be shipped from China to U.S. users.
In the report, Adelman highlighted the firm’s plans to expand globally in 2020 and emphasized that the partnership is a great first step to connect China and the U.S. through Bitcoin and commerce.
Earlier today, Cointelegraph reported on Fold, one of the oldest Bitcoin shopping rewards apps, launching support for home-sharing giant Airbnb today. With the new feature, Fold users can get 3% back in Bitcoin on every stay and experience booked on the platform. The app works in selected countries including the U.S., Australia, Canada, Ireland, Mexico and the United Kingdom, depending on the specific brand.
Regarding Alibaba, the Chinese retail giant has not been friendly to Bitcoin to date. On Oct. 10, Alibaba’s digital payment arm Alipay reiterated its negative stance to Bitcoin, confirming that it will be banning all transactions identified as connected to Bitcoin.