[2018-07-18] 3 Signs Bitcoin's Move Above $7K Might Just Hold

[limek]

The world's largest cryptocurrency by market capitalization exploded in price Tuesday, jumping $600 in 30 minutes to break away from what had been suppressive bear market conditions.

But entering Wednesday, bitcoin is changing hands at $7,370 and showing signs it might continue its ascent. In fact, when viewed on longer timeframes, it appears that the trend is changing, this time in favor of the always-optimistic bulls.

But just how reliable is this move?

So far, there are three general tools traders are using to analyze the markets in a quest to confirm that the change in trend will have staying power.

Read more: https://www.coindesk.com/3-signs-bitcoins-move-above-7k-might-just-hold/

[buwaytress]

Tempting to grab on to articles like these to pump ourselves up with optimism, but we shouldn't see this as anything beyond the typical see-saw of Bitcoin. ETF news doesn't explain the 30-min jump, nothing ever has for the sudden jumps and slides this past half year.

Remember in May they were touting double bottoms on the way to almost-$10k. Then we retreated to touch new lows.

EMA? That same chart shows it was well breached in May. I do like the volume we're seeing since yesterday though.

[Slow death]

The world's largest cryptocurrency by market capitalization exploded in price Tuesday, jumping $600 in 30 minutes to break away from what had been suppressive bear market conditions.

all bitcoin news channels are commenting on the sudden rise in prices and of course every bitcoin news channel is commenting on the possible reasons for this increase in prices and make prediction. I particularly believe that the reason for the price increase is because of BlackRock and SBI, time will tell us if prices have continued to rise or fall

But just how reliable is this move?

No one knows, and I particularly prefer to stay away from those charts that people make to try to predict the price, just see:

https://www.tradingview.com/symbols/BTCUSD

Yes, everyone wants to be the heroes who will predict the price.

[richardsNY]

At least till next month, but it doesn't really matter at this point -- what matters is the SEC's decision on that ETF, because if that turns out to be negative, we'll be falling like a rock. This is the only short term event capable of boosting some positivity in the market, but it's fragile, people have to understand that. Let the futures be an example of how important it is to sell the news. In the last year or two the price has constantly gone up in advance of that what would be happening, and people still keep wondering why nothing happens afterwards....

[Betwrong]

Every time I see graphs like these I always think, have they ever predicted a drastic change or stability for a certain period on the basis of  their calculations? I think the answers is no, apart from rare coincidences.

IMO the price rises because many new people buy Bitcoin, but nothing affects the market more than selling of big amounts by whales, and unfortunately it's just a matter of time when they will decide that the price is high enough to start selling again. With wider adoption this problem will disappear. But we need much wider adoption than it is today, so that any amount sold buy a whale would be bought immediately. No way I'm pessimistic about that. I think it will happen much sooner than one might think, because the demand for Bitcoin is not even close to what it should be, considering how many people have spare money for buying "cool things".

[darkangel11]

Tempting to grab on to articles like these to pump ourselves up with optimism, but we shouldn't see this as anything beyond the typical see-saw of Bitcoin. ETF news doesn't explain the 30-min jump, nothing ever has for the sudden jumps and slides this past half year.

Remember in May they were touting double bottoms on the way to almost-$10k. Then we retreated to touch new lows.

EMA? That same chart shows it was well breached in May. I do like the volume we're seeing since yesterday though.

I have the same feeling. Historically we've been hitting such bounces in every bear trend. If we compare this to 2014 the pattern is very similar. We hit a lowest point in April, then went sideways for a while, but the bearish pressure died and the price doubled in may and continued to trade high in June, but failed to gain new highs and ultimately hit a lower low in September.

The long term bearish trendline is somewhere at 7900 at the moment. If we break it we can start talking about a long term reversal and a pump to 10k. For now it's only a short term recovery.

[BitHodler]

Basic logic: if it can pump with $600-$700 quickly, it can dump with these values just as easily. We have seen that happen a few times this year already, and this may be the next one in line.

Good thing is that I don't mind if the price returns to pre pump levels. I'm in full accumulation mode and aren't planning to sell anything this year, unless the price breaks $20,000 but that's unlikely.

Right now altcoins are tanking while Bitcoin is holding strong, which might indicate that that altcoiners are slowly taking positions in Bitcoin. Their BTC ratios have taken strong dive, especially Ethereum.