Bitcoin analysis for 09/05/2018

According to the US financial media, the owner of the New York NYSE Exchange, the Intercontinental Exchange (ICE), reflects the possibility of trading Bitcoin on its platform. This move will indicate that there is the second giant on Wall Street in the last week, which is interested in opening the platform for trading cryptocurrencies.

This news appeared a few days after the publication quoted by Goldman Sachs, which seemed to confirm that the bank will debut on the futures market on Bitcoin in a few weeks. ICE talked to other financial institutions about the start of a new operation through which banks will be able to buy contracts. If the move continues, ICE and Goldman will join an ever-larger piece of traditional financing involving cryptocurrencies. Another new player is now NASDAQ, which announced that it will be open to setting up a trading platform for cryptocurrencies in the future.

This news further contrasts with the conflicting prospects of major investors that are currently on the front page of newspapers – for example, Berkshire Hathaway’s CEO -Warren Buffett – who compared Bitcoin to rat poison this week. The increasing interest of the US exchanges in traidng Bitcoin is very good news for all cryptocurrency enthusiasts and traders as it will likely increase the market capitalisation and general market liquidity. Moreover, it means the financial elites are much more aware of the fact, that the cryptocurrency market is now too large to be ignored.

Let’s now take a look at the Bitcoin technical picture at the H4 time frame. The market is still developing the corrective decline to the downside and currently is testing the short-term trendline support around the level of $8,989. The slide down might be just the first part of the corrective cycle (wave (a)), so there are at least three waves needed to complete the cycle. In a case of a further downside extension, the next technical support is seen at the level of $8,777 and $8,608.

The material has been provided by InstaForex Company – www.instaforex.com

Source:: Bitcoin analysis for 09/05/2018