Bears continued to gain control of the cryptocurrency market prior to the introduction of Bakkt's Bitcoin (BTC) futures. Ouch.
At the time of writing, the Bitcoin price has dropped to $ 9,900, meaning that the cryptocurrency is under $ 10,000 support for the umpteenth time in a matter of weeks.
This could be a harbinger of a larger move that will take place in the coming days, as this emerging market has shown unusual non-volatility in recent trading sessions.
Related Reading: Bitcoin Investor: We Will Never See $ 10,000 Again After the Next Cycle Deep
Bitcoin looks weak
A number of analysts say Bitcoin should continue to decline. As well-known trader Scott "The Wolf of All Streets" recently highlighted, BTC's four-hour chart, with seven red candles in a row, each with massive wicks on the bottom, looks absolutely horrendous, indicating downward pressure.
My farewell present before my departure this Saturday night ̵1; a ridiculous 4-hour spreadsheet with every single candle having a down wicket. $ BTC pic.twitter.com/EG6GpFDbrV
– The Wolf of All Streets (@scottmelker) September 22, 2019
That's not all. Chonis noted that the Bitcoin daily chart had just a series of bearish technical indicators: a 50-day moving average and a 100-day moving average, a bearish spread between two short-term moving averages and a possible one Loss of the lower Bollinger gang.
Bitcoin is currently in the midst of a huge bear fractal.
"Just something to think about. pic.twitter.com/FlJOHPCzdK
– 𝓥𝓮𝓵𝓿𝓮𝓽 𝓥𝓮𝓵𝓿𝓮𝓽 (@ 888Velvet) September 20, 2019
According to previous NewsBTC reports, an analyst lost support of the uptrend trend line of a long-term headline Same as 2018.
As history repeats, Bitcoin is approaching the rapidly declining trend line, which currently stands at around $ 11,000 before being rejected. If it comes to this denial, Bitcoin could fall heavily and possibly re-enter the $ 8,000 region and below.
No worries, Bakkt is here
Although the charts can be considered staggering, it is important to note that the basic background of Bitcoin is completely different than it was then and today. The macroeconomic phase not only fosters alternative assets such as Bitcoin, but it is also an institutional investment catalyst.
On Monday, Bakkt will launch its physically deliverable Bitcoin (BTC) futures contracts. In a recently released tweet Tom Lee of Fundstrat Global Advisors said he "positively appreciates Bakkt" and the ability of the exchange to "improve the trust of institutions in cryptography") jumped from 100% to 20,000 USD to May
Indeed, with the support of one of the most well-known and important financial institutions and legendary companies (Microsoft, Starbucks, etc.), Bakkt is likely to recruit companies that previously hesitated to bring down the red pill with cryptocurrency.
Whether Bakkt will be able to help Bitcoin violate the fractal or cast aside the bearish technical details is not clear. But it should at least lead to a long-term growth of this market.
Selected image from Shutterstock