Home Cryptocurrency Bitcoin Bitcoin maintains its position above 4,000 USD

Bitcoin maintains its position above 4,000 USD

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Bitcoin ended last week strongly with gains over the weekend, exceeding the level of 4,000 USD. Moreover, the cryptocurrency is still maintaining its position above the same level, although the bullish trend failed to break above 4,100 USD. Today the cryptocurrency is trading stable at price of 4,050 USD, recording minor losses of 1.5%, after a decent jump on Sunday.

bitcoin trend

The 24-hour trading volume of the Bitcoin has increased considerably over the last few days – from 4.5 billion USD on January 3 to the current 5.7 billion USD. The Christmas holidays are over and now the markets are returning to normal working conditions. The market cap has also corrected higher from 66 billion USD to 70 billion USD.

Despite boasting a daily trading volume into the billions of dollars, Bitcoin continues to experience with volatile price fluctuations. These oscillations are thought to be caused by big money bitcoin players shipping large amounts of crypto at above or below the current market value.

One so-called Bitcoin whale moved approximately 10 million USD of Bitcoin on the Luxembourg-based Bitstamp exchange.

Prior to the breakout above 3,800 USD, Bitcoin price had formed a contracting triangle in the 1-hour range as observed in the chart following the retracement from the recent high at 4,200 USD. On the downside, the bulls found refuge at 3,600 USD. Presently, Bitcoin is likely to correct above 4,100 USD, but 4,200 USD is out of reach, at least for now. Besides, the above support 4,000 USD is a resistance turned support while the 100-day Simple Moving Average (SMA) at 3,900 USD is the next support zone. Other vital support levels include 3,800 USD and 3,600 USD, respectively.

Japanese regulator considers allowing Bitcoin ETF

The financial regulator in Japan is considering allowing Bitcoin ETF. The information is unconfirmed yet, but according to the statement, the regulators gave a green light for the financial instrument to trade on domestic markets.

Japan’s Financial Services Agency has “abandoned plans” to allow crypto-related derivatives, like physically-backed futures (Bakkt), from trading in Japan, but is looking into ETFs instead.

This coming in light of US regulators that appear to be very much reluctant on the cryptocurrency ETFs, which much of the market has been hoping for.

The decision of Japan’s Financial Services Agency of allowing derivatives may be seen as bearish, especially considering the purported power in physically-backed Bitcoin futures and similar non-paper instruments.

However, this might be viewed as an adoption of the Bitcoin and cryptocurrencies as a financial instrument and asset value.

Can Ethereum reach 200 USD before the hard fork?

Ethereum continues to grow massively despite the stagnant and continuous downward trend of the crypto market. Today, Ethereum is trading at 154.17 USD.

Ethereum trend

Ethereum has seen an upward movement as it tries to restore the enormous loss it took when the crypto market collapsed in November.

The sharp decline that hit the market at the end of 2018 slid the price of the cryptocurrency from 220 USD to 80 USD, and also lost its position as second largest cryptocurrency from Ripple. However, there has been a significant correction in value over the past three weeks, as it rose by 80% – from 80 USD to 159 USD. Also, on January 2nd, the cryptocurrency again outpaced Ripple, returning its second place.

The drastic growth has led crypto enthusiasts to announce the future success of the future Hard Fork, scheduled to take place on January 16.

Constantinopole Fork of Ethereum comes at block 7080000, which will be reached about January 16, 2019. Constantinopole Fork will reduce the awards from 3 to 2, reducing the supply of the new ETH respectively. In the long run, this is definitely an upward idea.