BTC Market Analysis - 12/28/2017

in bitcoin •  7 years ago 

BTC Rally Reverses

Looking at an hourly chart today allows us to see the double bottom which formed several days ago, leading us into a rally to 16k. This rally looked very bullish in the sense it could be a stair-step continuation back to the highs of the market. However, the first leg of this rally is already looking dubious. Really, we would want something like 14,500 level to hold for this to be a normal bull rally, rather it dropped to 13,500. In other words, it is looking more like a reversal and not a stair-step rally.

South Korean Regs

There is a downside story today which is the South Korean Gov. declaring some regulations affecting bitcoin. While not worthy of mentioning from an investment standpoint, on a daily chart this news may have caused the increased downside.

My approximation of BTC daily action

I am leery of saying the declines are over, I was hoping they were and I had bought some BTC at 11,800. I exited that position since the chart looks like a sinking ship today. The target area is the possible next range of support if the red line breaks.

BTC12282017.png

At this point, waiting on the sidelines seems like the more sane option given what I am seeing. There is also no major news event to propel the market higher as we have had during previous declines in the fall of 2017.

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Great analysis, lately bitcoin has been worrying but that's okay since am new in the cryptocurrency world. I stopped thinking about buying more bitcoins and concentrated on mining them from steemit. Am still so hopeful bitcoin will amuse us as it did last this come 2018. Seated here with my fingers crossed.

I would think that in early part of January 2018, many folks in the states will be selling BTCs to avoid having to pay capital gain tax in 2017 income tax return. This may be the case especially if BTC keeps trending down through the end of December, making people fear and run for the hills.

BTW just wanted to touch on BTC mania in South Korea. One does not have to pay capital gain tax gained from trading crypto currencies under the current South Korean tax law. This may be one of the reasons why the trading volume has been unproportionally high there in terms of the size of population (roughly 50 million total population in South Korea as versus over 300 million in the US).

everything is back in red again lets hope for an uptrend soon :) anyways thanks a lot for the update

Just wait for 2018 to roll around I have a feeling massive injections of cash will be added

In general, I would like to see the markets go higher. However, I tend to favor these market conditions compared to the constant increases we had before in late November and early December. It's much easier to get better values on a lot of different tokens.

Bitcoin is unstoppable, it is the decentralized engine, though transactions are public. But untraceable currencies such as Monero are poised to capture a decent part of the market share. Stay thirsty my friends.

Very informative post. thanks for sharing your update info. I will be following you

nice information! bitcoin top level

I have been following you on youtube for a long time and you have been great at providing ur insights at bitcoin and other crypto's. But ur recommendations have always been for short term trends based on technical analysis. I would really like to hear from you on long term trends on bitcoin and other cryto's based on fundamentals as well.

I think btc will go up and break its all time high soon :D

Hallo and congrats to your great analyses! Another interesting fact worth mentioning in my opinion is that btc dominance % is reaching it's "nadir" level, right now hovering @ 41%. In the dominance graph we may be seeing a double bottom in formation