Bitcoin growth in February
Bitcoin growth in February, reasons, forecasts
The difference in the growth of Bitcoin on February 18 from previous price hikes. Forecast for 2 months, the reasons for the reversal.
February 18, 2019, Bitcoin has created hope in the hearts of forced holders. The BTC rate has grown steadily throughout the day.
Over the past couple of months, we regularly observed “needles” on candlestick charts, which indicated single large purchases.
All this was a prerequisite for a possible jerk of bulls. However, this could also be a classic collection of stops for short-lovers (margin trading to lower the market). On February 18, the market behaved differently.
Bitcoin growth in February 2019: reasons, forecasts
Difference in BTC price growth 02/18/2019 from previous jumps:
Growth began systematically. The price paired with USDT rose within 36 hours from $3608 to $3974. Candles with a long wick were corrected instantly, but the price remained dynamic. That is, the growth was not entirely triggered by speculators playing long (traders take profits when the cryptocurrency grows).
The price spikes were accompanied by negative volumes (traders sold BTC, taking profits). However, this did not affect the direction of the Bitcoin price movement. That is, in addition to traders, a significant part of long-term investors is involved in trade.
The growth of the bitcoin exchange rate has affected the entire cryptocurrency market. The cost of alt coins always grows in dollar terms. However, in this case, almost all coins showed a positive trend and paired with BTC. Now we can observe the inevitable correction in most pairs after yesterday's pump.
Reasons for the growth of Bitcoin in February 2019.
There was no news that could push the world cryptocurrency to growth this week.
However, we will try to determine the causes of growth, starting from the general state of the market.
An abnormal increase in cryptocurrency trading volume with the prevalence of buy transactions. Cryptocurrency trading volume for February 18, 2019, exceeded the previous 9 months. This triggered a rise in prices for most coins.
A continued decline in volatility and consolidation of funds in the hands of large investors. This is the traditional premise for a sharp change in the value of an asset. This can be either an abnormal increase or a fall in prices. As an illustration, we can take the Bollinger lines on the 4h timeframe.
It can be assumed that at the level of $ 3,000, bitcoin groped its bottom. Also, most alt coins reached their minimum values in 2 years. Last month we observed a certain increase in the price and volume of coins from the first hundred. Miners and investors are not interested in selling a coin for less. If this is true, we can observe the emergence of an uptrend, the expectation of which has been going on for a year now.
Exaggeration of news about the possible acceptance or rejection of the Bitcoin ETF has finally lost its influence on the rate of the BTC / USDT pair. Digital currencies will develop in parallel with the real economy and fiat, if international regulators are not ready to legitimize the cryptocurrency market.
The growth in the volume of transactions in the Bitcoin network pushed a number of investors to enter the market. Digital currencies have become more predictable and reliable. The last year has shown that the cryptocurrency market has something to offer to the real sector of the economy, in addition to hype.
Forecast for Bitcoin for February-March 2019.
Currently, the price is storming the $ 4,000 mark. Yesterday, the bulls failed to overcome this resistance line.
It is likely that it will not succeed even today (for example, at one of the largest Bitmex exchanges at the moment it is necessary to buy BTC in the amount of $ 30 million to overcome the threshold of $ 4000. This is a real task even for the next hour with large investors.
Bitcoin growth in 2019 - prospects
If the level of $ 4000 is not overcome in the coming days, there is a high risk of a subsequent rollback to the $ 3400 position and a long flat. The probability of BTC falling below $ 3000 is now minimal.
To talk about the trend reversal, bitcoin needs to overcome the $ 4,550 mark in the near future. The more time passes, the higher the likelihood of maintaining lateral movement, or roll back to the positions of recent months.
The tipping point is still considered the price level of $ 6,000. This is not only a psychological mark, but also a traditionally strong level of resistance.