Bank of America: Bitcoin Bubble Is Already Popping

A team of Bank of America Merrill Lynch (BAML) researchers is arguing that bitcoin is one of the “greatest asset price bubbles in history.” In a note released Sunday, the team led by chief investment strategist Michael Hartnett went so far as to categorize the current market, which has seen a 60 percent correction so far in 2017, as a bubble that is already popping, Bloomberg reported. The bank published a chart comparing bitcoin with famous financial manias: the Mississippi Company and South Sea Company in the 18th century, gold, the…

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Rangebound: Bitcoin Bulls Need Break Above $7.5K

Bitcoin’s (BTC) bulls and bears seem to be stuck in a stalemate, but a decisive session in either direction would likely define the trend going forward. The cryptocurrency was solidly bid above $7,100 about 24 hours ago, reportedly due to speculation the Wall Street bigwigs (Soros and Rockefeller, for example) are set to enter the crypto markets. However, a long liquidation (unwinding of long bitcoin trades), as reported by WhaleCalls, looks to have pushed BTC to a low of $6,611 overnight. At the time of writing, the cryptocurrency is sitting at…

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ICE CEO Won’t ‘Rule Out’ Crypto Futures Launch

The Intercontinental Exchange (ICE) won’t “rule out” cryptocurrency-based futures contracts. ICE chief executive Jeffrey Sprecher discussed the issue in an interview with Bloomberg TV Monday, saying it is “early days” for the asset class, but that he could not ignore the idea of cryptocurrency futures contracts. He kept his comments vague, not discussing any particular cryptocurrencies or whether ICE has any definite plans to offer futures contacts based on them. He added: “I wouldn’t rule anything out … There is a trend here we can’t ignore in my mind, so I…

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Bitcoin Teases Bull Reversal with Rise Above $7K

Bitcoin (BTC) found acceptance above the $7,000 mark over the weekend, boosting the odds of a double-bottom bullish reversal, the technical charts indicate. The cryptocurrency trapped the bears on the wrong side of the market as it defended the psychological support of $6,500 on Friday, despite a bear flag breakdown, and rose above $7,000 on Sunday. As of writing, BTC is changing hands at $7,081 – up 0.84 percent for the session, and up 9.8 percent from last week’s low of $6,513, according to CoinDesk’s Bitcoin Price Index. The positive…

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Bitcoin Eyes $6K After Key Resistance Fails to Hold

Bitcoin (BTC) risks falling to $6,000 in the next 24 hours, but there is limited room for a drop below that level, the technical studies indicate. BTC’s retreat from the weekly high of $7,509 to $6,600 not only marks a failure on the bulls’ part to hold prices above the key resistance of $7,240 (March 18 low), but also signals continuation of the bearish “lower” highs pattern (marked by hand signs) as seen on the chart below. As of writing, the cryptocurrency is changing hands at $6,565 on Bitfinex –…

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Make or Break? Bitcoin Risks Bear Revival Below $6.5K

Bitcoin (BTC) fell below the $7,000 mark on Wednesday, neutralizing the immediate bullish outlook. More worryingly for the bulls, a further decline towards $6,425 (recent low) would turn the tide in favor of the bears, the technical charts indicate. The cryptocurrency witnessed a head-and-shoulders breakdown at 09:00 UTC yesterday and fell to $7,000 (target as per the measured height method). The hourly momentum studies (moving averages) were aligned for a bullish move at the time, hence BTC was expected to defend the psychological mark. However, the sell-off gathered pace early…

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Bitcoin Bulls Need to Defend $7K as Corrective Rally Stalls

Bitcoin’s (BTC) corrective rally has run out of steam in the last 12 hours. While that’s not good news for the bulls, only a clear break below $7,000 would kill the odds of a move higher to $7,800-$8,000, the technical charts indicate. The cryptocurrency clocked a high of $7,509 at 19:00 UTC yesterday, according to Bitfinex data, before retreating to $7,070 at time of writing. The pullback has neutralized the immediate bullish outlook. Furthermore, the cryptocurrency has created a minor, bearish head-and-shoulders pattern, as seen in the chart below. 1-hour…

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Down 50%: Q1 Was Bitcoin’s Second Worst Quarter Ever

Bitcoin (BTC) fell by 50 percent in the first three months of 2018 – a drop that marks the cryptocurrency’s worst Q1 performance on record. A look back at historical Bitcoin Price Index data shows that the halving in value seen this year is the second-worst quarterly performance ever. The cryptocurrency suffered its all-time biggest quarterly drop in the third quarter of 2011, when it fell 68 percent from $16.1 to $5.14. Interestingly, the table clearly shows that, since 2013, bitcoin has rarely seen gains over the first quarter of…

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Acid Test: Bitcoin Must Break $7,800 for Bull Reversal

Bitcoin (BTC) continues to mount a recovery despite the recent bearish “death cross” chart event. As of writing, bitcoin is changing hands at $7,400 on Bitfinex and the average price on leading exchanges, as represented by CoinDesk’s Bitcoin Price Index, is seen at $7,380. The cryptocurrency’s 15-percent rally from the 54-day low of $6,425 set on April 1 is encouraging and pretty much in line with the historical relative strength index (RSI) pattern. That said, the bulls’ job is only half done, and bitcoin is still stuck in a falling…

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How Bad Was Q1? Just Two Top-Tier Cryptos Saw Gains

The crypto markets had a rough ride in the first quarter of 2018, with just two tokens bucking the downtrend. The buying frenzy seen at the turn of the year quickly ran out of steam in the first half of January, and what appeared to be a healthy pullback soon turned into a bear market on fears South Korea and China would announce deeper regulations. South Korea, in particular, has been effective in curbing excessive speculation, as the so-called “Kimchi Premium” fell sharply following the new regulations. Further, trading volumes dropped…

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