SEC disapproves plan to list bitcoin ETF

ETF rejected

It was already a tough day for bitcoin but news that the SEC has disapproved a plan to list a bitcoin ETF on NYSE ARCA is now breaking. Regulators cited concerns over Bitcoin manipulation.
There are a few people trying to get an ETF approved, I’m not sure exactly which one this is but it doesn’t bode well for anyone who is trying to convince the SEC.

Bitcoin may be usurped by Tesla for now, but still looking toward $10K

Trades at the highest level since October 28.

The price of bitcoin reached a high today of $9885 on the Coinbase exchange. That was the highest level since October 28 and just $115 away from the magical $10K.  The last time the price trade above 10,000 was on October 26 when the price spiked up to $10,544 rotating quickly back to down. The last close above the $10,000 level was back on the September 22.
Trades at the highest level since October 28.
Looking at the hourly chart above, the price has been moving to the upside since bottoming on Tuesday at the $9078.05 level. The high today that the price up 8.84% from that low. It’s not Tesla but it still was a good rebound to the upside off of the low.
During the week, the price did trade below and that back above its 100 and 200 hour moving averages. Those moving averages tend to define the bias for the digital currency. Stay above is more bullish.  Move below is more bearish.
In the trading this week the price did move below the 200 hour moving average on Tuesday, but on Wednesday when the 2 moving averages were converged near the $9300 level,  and the price moved back above each, the sellers turned to buyers and the price extended higher.
The 100 hour moving average is currently at $9476.19 and the 200 hour moving averages at $9423.94 (with each rising) . It will take a move below each to turn the bias back to the downside. Until then, the buyers have more technical control.
Now, there may be sellers that lean against the $10K level. However, I would expect if broken, there would more by momentum in the direction of the break.  So don’t risk a lot on the trade.
For now though, things are looking good for bitcoin investors with a key level looming above…. It may not be Tesla, but perhaps it is better it isn’t too.

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The ‘Big 4’ Cryptocurrencies to trade

What you need to know when trading Cryptocurrencies

EagleFX 1
The popularity of Cryptocurrency is on the rise and more and more skeptics are investing in digital assets each day. With people losing trust in central banks, coupled with the allure of investing in a digital currency which could appreciate, these factors have contributed to an industry boom.

What is even more exciting is the options available surrounding Cryptocurrencies nowadays. In the past, investors would simply buy a coin and wait/hope for the value to increase whilst running the risk of having value wiped out of an investment in a volatile market. This is avoidable now thanks to Crypto trading. Much like traditional Forex trading, Crypto enthusiasts can now trade on the projected performance of a coin without necessarily purchasing that asset.

The option of trading Crypto can be far more appealing than investing which comes with constantly monitor price performance. Thanks to leveraged trading on broker platforms, traders can concentrate on: going long and short on a range of Cryptocurrencies opposed to just investing and HODL-ING.

In this article, we will explore some of the major Cryptocurrencies which will suit day traders, scalpers, and swing traders. First of all, let’s consider some factors which contribute to a good Cryptocurrency to trade

Trade over 30 Cryptocurrency pairs with access to leverage of up to 1:100 for digital currency at new broker EagleFX. Continue reading »

Weekly market roundup: Bitcoin surges up and trade tension declines

What drove markets this week

BitcoinThe dollar has generally made some gains this week against various currencies. These movements came after fairly good data from the USA as well as the signing of a first stage trade deal between the USA and China.

Some of the biggest news in forex markets this week came from central banks. Both the South African Reserve Bank (SARB) and the Central Bank of the Republic of Turkey (CBRT) cut rates against expectations. The CBRT was first yesterday morning, cutting its one-week

repo rate from 12% to 11.25% compared with the consensus expectation of 11.5%.

Then the SARB also cut its repurchase rate to 6.25% yesterday afternoon, another decision that defied expectations. In a rare display of agreement among central bankers, the SARB’s

monetary policy committee voted unanimously to cut by 0.25%.

Shares reacted eagerly to news of the preliminary Sino-American trade deal, with US500 continuing its rapid gains since Monday’s open. Many European indices and shares also reached new all-time highs.

Bitcoin-dollar, daily

Bitcoin chartBTC-USD has surged up even more in the second half of the week. Current levels around $8,900 are the highest for about two months. The red trendline here is based on the weekly chart, starting from last summer’s highs around $13,000.

We can clearly see that price has broken out upward from this trendline, facing little resistance from the 100-period simple moving average.

The first major hurdle for the bulls here is likely to be the 200-day moving average. This is expected to be a strong area that could well resist testing at least temporarily. The 61.8% Fibonacci retracement area which price is currently testing could also function as a resistance.

Technical indicators here give a very strong overbought signal. Price closed the last three days completely outside the upper deviation of Bollinger Bands (50, 0, 2).

The slow stochastic (15, 5, 5) is also clearly within the upper trigger zone. These factors would suggest that a retracement to some degree is likely within the next few periods.

American light oil, four-hour

American light oil chart

USOIL’scorrection appears to have paused for now. The large losses from last week’s nine-month highs were driven mainly by the decline of military tension between the USA and Iran in Iraq. Now, though, the signing of the first stage deal between China and the USA has given crude a significant fundamental boost.

As China is the world’s biggest consumer of crude oil, the outlook for the Chinese economy often influences the price of the commodity.

The regular data for crude were somewhat incompatible this week. The API’s stock change announced a gain of 1.1 barrels per million, but the EIA’s stock change read negative 2.55 million on Wednesday night.

USOIL didn’t react very strongly to either release, so we might expect that trade and Chinese data could continue as key drivers next week as well.

From a technical standpoint, the conditions seem to be there for oil to continue its overall uptrend from Q4 2019. Momentum to the downside has dried up this week while buying volume remains fairly high.

The most important resistances in the short term are likely to be the three moving averages, with the 200-period SMA probably the most important of these.

Dollar-yen, four-hour

USDJPY chart

USD-JPY has been somewhat less volatile this week while continuing to make some gains overall in the aftermath of decent data from the USA. Annual inflation and core inflation on Tuesday both printed 2.3% in line with expectations, the former beating the previous figure by 0.2%.

American retail sales came in at 0.3% yesterday afternoon in line with the consensus, but November’s release was revised upward slightly.

The charts look positive for dollar-yen but buying saturation could limit any ongoing gains. Price remains above all three of the usual moving averages, with the faster 50 SMA completing a golden cross of the slower two on Wednesday afternoon GMT.

On the other hand, volume remains very low, and the slow stochastic is still slightly inside the overbought zone.

It seems that most traders are waiting for key releases next week to provide some momentum, up or down. The Bank of Japan’s meeting on Tuesday morning and Japanese inflation late on Thursday evening are expected to bring some more direction to USD-JPY.

Bitcoin off to a weak start in 2020

Bitcoin on Coinbase is down $-265 and back down below $7000

The price of bitcoin is off to a weak start in 2020. The price on Coinbase is trading down $265 at $6951.83.  The hi reached $7217. The low reached $6903.
Bitcoin on Coinbase is down $-265 and back down below $7000
In addition to breaking back below the natural level of $7000, the price is moving further away from its 100 and 200 hour moving averages. Those moving averages currently come in at $7219.51 and $7231.48 respectively.
Over the last 7 or so trading days the price has been fluctuating below and then above those moving averages. The high last week extended up to $7531 after breaking above the moving averages at $7239 on December 28.
The price move back below the moving averages on December 30. They were retested on December 31 and again on January 1 before rotating back to the downside yesterday. Bearish
In addition to the fall below the moving averages, the price today also fell below the 50% retracement of the move up from the December 18 low at $7059.50. Bearish.
That break targeted the 61.8% retracement at $6910.93 next. Buyers have leaned near that retracement level. We are currently seeing a modest bounce. It will likely take a move back above the 50% retracement level at $7059.50 to solicit more buying.
Should the price break below the 61.8% retracement, however, I would expect further downside momentum. The low price in December reached down to $6430. That would be a target on increased selling pressure.