12 June 2020

BTCUSD longs daily chart

Bitcoin reached a bearish target, what’s next? MACD and Lucid SAR indicators call for further price decrease for ETH

BTC/USD daily chart

12 june btcusd daily

Bitcoin price is down 12% and as predicted in our previous issue, found supported by the 50-day moving average and the 78,6% FIbonacci Retracement at approximately $9070, then bounced back to $9,450. In the upcoming days bitcoin might retest the resistance level at the $10,000 region. However, if it won't be able to break through the 20-day moving average we might see a further decline to where the 100-day moving average lies ($8,700).

BTC/USD daily chart

12 june btcusd daily2

The decrease in bitcoin price could be considered as a healthy correction, after it has been continuously rising and establishing higher highs since mid-March. The same dip can be observed in the stock market as well: S&P 500 is down over 7%, while DOW Jones and Euro Stoxx experienced declines of 8%. In the meanwhile, the US Federal Reserve prints almost the entire bitcoin market cap each month for quantitative easing, while reaching $26 trillion in national debt.

ETH/USD daily chart

12 june ethusd daily

Ether is recovering after yesterday's 10% drop, taking pause above the daily EMA Ribbon. However, the MACD indicator is in the red and after a flash crash on Bitstamp, Lucid SAR turned to the bearish side. This could lead to a $220 price where ETH will face a support line that was able to hold 6 previous times. In case bulls prevail a further 7% growth is reasonable to expect.

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