P95G Market Weekly Report — Week of 04/12/2020
The Bitcoin price broke out of the upper Keltner channel on Apr 6th and reached $7,455. There was a resistance near $7,400 as the buyers failed to push the price higher. It went sideways for a few days and then fell below $7,200 (previous resistance) to reach $6,794. The price is settling near $6,800 which is slightly higher than the previous low on Apr 3–5.
The hourly chart shows that the upward momentum has slowed. The direction is unclear at the moment, as the price has been hovering within the Keltner channel. This sideway movement may continue through Tuesday. It would take a lot of buying power to break the $7,400 barrier within next week.
Review of the week:
BCH’s halving that took place on 8 April resulted in a significant price drop, along with a flock of miners moving away due to the losses incurred by mining BCH. However, from 9 April onwards, there has been a slight fluctuation in the price. Halving usually results in a rise in the coin’s price, but this has been proved wrong in Bitcoin Cash‘s case. Also there is a voice saying that miners will want to load up on as many Bitcoins as possible before the block reward drops, as the Bitcoin’s halving is expected to happen next month.
In a recent interview, Michael Novogratz, a former Goldman Sachs partner, as well as Founder, Chairman, and CEO of crypto-focused merchant bank Galaxy Digital, said that all of these massive economic stimulus packages that we are currently seeing should benefit hard assets such as gold and Bitcoin. He says that the huge amount of money printing being done at the moment, mostly in order to fight the economic harms of COVID-19, is going to devalue fiat currencies, and that he expected Bitcoin to double in value within the next six months.
Disclaimer: The above market commentary is based on technical analysis using historical pricing data, and is for reference only. It does not serve as investment or trading advice.
Point95 Global Ltd (“P95G”) has been at the forefront of digital asset trading since 2017 in providing “best-in-class” OTC brokerage, digital asset management, liquidity provision, and execution services. We also founded Coinviva Exchange, a digital asset exchange.
