Bitcoin is ready for another run upwards

Disclaimer: Cryptocurrencies can fluctuate widely in prices and are therefore not appropriate for all investors. Trading cryptocurrencies is not supervised by any EU regulatory framework. 

After a whole year of going down, Bitcoin and other cryptocurrencies, eventually, found the ground to firmly stand on and made their first significant rallies. Looking at the technical weekly chart of the cryptos we may state that the downtrend is over for good and we are in the initial phase of another big bull run.

If you take a look at a weekly chart of BTC/USD, you will surely notice how the crypto bounced off 200 sma/ema (simple exponential moving average). This is a very strong support level! Then, you can spot consolidation above the averages, which indicates that the sellers moved out of the way, and the buyers took over. Price stopped dropping and started moving sideways. What does that mean? It is a sign of accumulation. Smart money started accumulating cryptos at low prices! A few months of narrow ranges and bam...cryptos started going up again.

There was a short dip below weekly low last week and then a jump up (seen on daily candle charts). This is a strong sign that Bitcoin found its' short term support and the accumulation process started again.

Bullish candles on hourly charts (on the 4th and 6th of June) obviously point to buying interest and only increase confidence for buying Bitcoin again. I bought at 7600 level with a stop loss below weekly low of 7400. My analysis tells me we are in another bull market, and the best strategy now is to buy on dips.


Disclaimer: Cryptocurrencies are highly volatile investment products. Your capital is at risk. 

Trade cryptocurrencies with eToro

Cryptocurrencies have taken investment community by the storm.

Disclaimer: Cryptocurrencies can fluctuate widely in prices and are therefore not appropriate for all investors. Trading cryptocurrencies is not supervised by any EU regulatory framework.

What is a cryptocurrency?

The term might be relatively new to an average trader or investor, but basically it is a  currency in which encryption is used for generation and transfer of funds and that is done outside of central bank regulation system.

So, we may say that cryptocurrency is an alternative currency and a financial instrument that can be used for investment and also for purchases and payments across the world. Of course, it is not accepted as a universal payment method everywhere, but the popularity of payments using cryptos is getting more and more popular.

There is a story circulating in internet how a developer of the currency paid 10 thousand bitcoins for two pizzas in 2010. Now, 10 thousand bitcoins would be worth 20 million US dollars. Wow! If you look at a chart of Bitcoin you will see that the price of the security increased 5 times over the last year. Another wow! You never know what can happen with your investments. Obviously, you can lose too, but there is a tendency with new financial instruments that are traded in the market to increase hundred times, sometimes thousand times in value.

( From 500 to 3000 in just one year)

Today, these crypto currencies surely record bigger changes than most financial instruments and present opportunities as well as risks, but there hardly re any secure investments nowadays, that would guarantee you safe profits year in and year out.

If you got interested and would want to try trading cryptos I would recommend using eToro trading platform. They are currently offering 6 cryptos: XRP, LTC, ETHEREUM, ETC, DASH  and finally BTC or Bitcoin.

Disclaimer: Highly volatile investment product. Your capital is at risk.