Bitcoin Price Analysis: At Trump’s Cross Hair, Will BTC Soak Sell Pressure?
Today’s Bitcoin (BTC) News
There is a lot of talk around President Trump’s recent remarks on cryptocurrencies and Bitcoin. While it is totally understandable that Bitcoin and blockchain in general has been disruptive not only for traditional players but governments-with some taking the unpopular steps of banning cryptocurrency exchanges and holders, BTC as a whole has distinct advantages over fiat.
Of the many, the decentralization present in the coin means its attack vector are non-existence and well, there is no way to ban code per say. Because of this, cryptocurrencies and Bitcoin are quickly evolving to be reliable store of value as well as medium of exchange in economies that are unsettled by external factors as well bad governance.
Trump may have his reasons to be skeptical and saying Bitcoin is based on thin air while in real sense fiat and banks practicing fractional reserve is destabilizing economies. Besides, the transparent nature of Bitcoin transactions means the network cannot be a conduit for illegalities not with the rise of blockchain analytic firms whose services have been procured by government agencies as well as exchanges to track down heists or illegal activities.
In stark contrast, fiat via banks are accessories for money laundering and even terrorist financing. To add to that, its infinite supplies mean rogue government officials with authoritarian powers can direct central banks to mint cash to their advantages while wreaking havoc to citizens.
So, ultimately, whether the US government and President Trump in particular may decide to take drastic actions to curtail the proliferation of cryptocurrencies while basing his actions on the constitution, it is unlikely that cryptocurrency use will come to an end. That’s thanks to Bitcoin’s inherent properties of decentralization and well, it’s based on the internet and thus effectively distributed.
BTC/USD Price Analysis
1 BTC/USD =$49,379.0348 change ~ -4.17%
At the time of press, the world’s most valuable coin is under pressure. Posting double digit losses through from last week, there is a three-bar bear reversal pattern clear in the weekly chart. All the same, the path of least resistance has been defined and after two quarters of price rallying, bears are back.
Although there is a possibility that BTC prices will finally recover and print higher in days ahead, last week’s bear candlestick pours cold water on optimistic traders. Accompanying trading volumes are low and with prices firm below June 27 low and $11,200, sellers did confirm the double bar bear reversal pattern of June 26 and 27 which confirmed the overpricing of June 26.
Therefore, in light of the above, every high is technically a selling opportunity with first target at $9,500. However, should sellers press lower, then there is a chance that prices will slide to $5,500 in a much-needed retest.
On the other hand, if buyers flow back and prices blast past $14,000 complete with high trading volumes exceeding 82k of June 26, then odds are BTC will rally to $15,000 or even $18,000 in a trend continuation phase.
Disclaimer: Views and opinions expressed are those of the author and aren’t investment advice. Trading of any form involves risk and so do your due diligence before making a trading decision.