Technical analysis of BTC/USD for Oct 18, 2019

analytics5da94cd02890f.jpg

Crypto Industry News:

18 million Bitcoin is to be mined on Friday, which means that at the moment only three million Bitcoins remain to be mined.It is worth noting that so far 17,997,150 BTC has been extracted so far – according to the BitcoinBlockHalf data page – and the upper limit for the number of Bitcoins that will ever be encoded in the system is 21 million.

As the number of coins remaining to be secured by securing the Bitcoin chain is still decreasing, Bitcoin halving is also approaching. During the event, the amount of Bitcoins created with each new block will be halved.

BitcoinBlockHalf estimates that on May 14, 2020 – the date is uncertain given the bitcoin block time irregularity – the block reward will be reduced from 12.5 to 6.25 coins. The website also indicates that 85.7% of all coins have already been mined.

As the number of coins that still need to be extracted decreases, competition for them appears to be increasing. The Bitcoin hash rate has for the first time ever exceeded 102 quintillions.

Technical Market Overview:

The BTC/USD pair is still trading under the short-term trendline resistance and the trendline itself has been tested three times already. The move down has been initiated after the Bearish Engulfing pattern was made around the level of 38% of the Fibonacci retracement and since then the bears have been pushing the price lower and lower. Any violation of the level of $7,672 will invalidate the current Elliott wave scenario and make the whole corrective structure more complex and time-consuming.

Weekly Pivot Points:

WR3 – $9,781

WR2 – $9,248

WR1 – $8,711

Weekly Pivot – $8,198

WS1 – $7,675

WS2 – $7,127

WS3 – $6,590

Trading recommendations:

Due to the short-term impulsive scenario invalidation, the best strategy in the current market conditions is to trade with the larger timeframe trend, which is still up. All the shorter timeframe moves are still being treated as a counter-trend correction inside of the uptrend. When the wave 2 corrective cycles are completed, the market might will ready for another impulsive wave up of a higher degree and uptrend continuation.

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

Source:: Technical analysis of BTC/USD for 18/10/2019

Won't your trader friends like this?
InstaForex
About the Author
InstaForex brand was created in 2007 and at the moment it’s a top choice of more than 2,000,000 traders. More than 1,000 clients open accounts with InstaForex every day. All InstaForex clients get great opportunities for effective trading on the forex market, as well as on-time technical and customer support

Related Posts

Leave a Reply

*