Bitcoin (BTC) is Bottoming Up, $48 Million of Liquidated at BitMEX in the Last Hour

Bitcoin BTC
Image Courtesy of WikiMedia Commons

Bitcoin (BTC) is Bottoming Up, $48 Million of Liquidated at BitMEX in the Last Hour

After a suppressed H2 2019, Bitcoin prices are bottoming up. This optimistic view is according to an influential crypto analyst, Crypto Loomdart who didn’t shy away from posting his two cents—and his confidence, through a Twitter bull “poll”.

Probable Reasons Bitcoin Surged

Market commentators are net bullish and following the lull the better part of last year, while discounting the emphatic performance of H1 2019, the $400 surge that took mere minutes could as well mark the beginning of a turn that will push BTC from the current consolidation and into a positive rally in Q1 2020.

Given, the spark in market activity is some few days after the December and New Year holidays where the crypto market, which is already not the most liquid considering the huge spreads and market swings, would largely be marked by low trading volumes and general inactivity.

Behind this are several triggers that could explain the unexpected resurgence of bulls.

Bitcoin Technical Indicators Point to More Upsides

Technically, Bitcoin prices are in a consolidation—which is positive, as bulls, despite the strong wave of bear pressure in the first half of December 2019, got a shot in the arm on Dec 19 when prices stemmed the down trend following the climactic sell-off of December 18.

Bitcoin BTC
Bitcoin BTC Daily Chart for Jan 3

Visible from the chart is a ranging market where bears remain dormant and fizzling out while held within Dec 19 bullish bar. From an effort versus result point of view plus the double-bar bullish reversal of Dec18-19, buyers have an upper hand.

Therefore, it is highly probable that the reaction from the 61.8% Fibonacci retracement level from the last two weeks of December 2019 could spur more gains going forward.

Besides this, notice that there is a Bollinger Squeeze in the daily chart. A squeeze, according to the creator of the indicator, John Bollinger, precedes a period of expected high volatility.

Supportive technical indicators complement fundamental events that are overly supportive of Bitcoin. Bitcoin has gradually evolved into a store of value and a medium of exchange, a true utility for citizens in troubled economies.

BitMEX Liquidation

As Bitcoin recovers, $48 million worth of BTC sells were liquidated at BitMEX, a crypto derivatives trading platform.

Bitcoin BTC Short Liquidation at BitMEX
Bitcoin BTC Short Liquidation at BitMEX
Summary
Bitcoin (BTC) is Bottoming Up, $48 Million Liquidated at BitMEX in the Last Hour
Article Name
Bitcoin (BTC) is Bottoming Up, $48 Million Liquidated at BitMEX in the Last Hour
Description
Bitcoin prices are bottoming up as $48 million worth of BTC are liquidated at BitMEX in the last hour.
Author
Publisher Name
CoinGape
Publisher Logo
Coingape is committed to following the highest standards of journalism, and therefore, it abides by a strict editorial policy. While CoinGape takes all the measures to ensure that the facts presented in its news articles are accurate.
Disclaimer The views, opinions, positions or strategies expressed by the authors and those providing comments are theirs alone, and do not necessarily reflect the views, opinions, positions or strategies of CoinGape. Do your market research before investing in cryptocurrencies. The author or publication does not hold any responsibility for your personal financial loss.
Author: Dalmas Ngetich
Dalmas is a very active cryptocurrency content creator and highly regarded technical analyst. He’s passionate about blockchain technology and the futuristic potential of cryptocurrencies and enjoys the opportunity to help educate bitcoin enthusiasts through his writing insights and coin price chart analysis. Follow him at @dalmas_ngetich
Post your comment...
Dalmas Ngetich 335 Articles
Dalmas is a very active cryptocurrency content creator and highly regarded technical analyst. He’s passionate about blockchain technology and the futuristic potential of cryptocurrencies and enjoys the opportunity to help educate bitcoin enthusiasts through his writing insights and coin price chart analysis. Follow him at @dalmas_ngetich
Follow Dalmas @