From Bitcoin’s move below crucial support to a dispute brewing at the Ethereum Foundation, here’s a look at some of the stories breaking in the world of crypto.
Veteran trader Tone Vays says it’s time to say a prayer for Bitcoin.
In a new episode of Trading Bitcoin, Vays says BTC is now at risk of a bigger move to the downside after breaking below support at about $7,200 on TradingView.
“BTC Price is breaking under very critical support. This is not good. Time to pray for the best but prepare for the [worst]…
The fact that we broke support is favoring the bears. The moving averages look very, very bad. The short term is below the intermediate term, is below the long term, and they’re all trending down.
However, because the price action is so far below all these moving averages, it is very possible that the price can snap back. So you really want to be careful about shorting something that is so far below their moving averages, even when the moving averages give you the most bearish picture possible. So you have a bit of a conflict here. I will trust the price action until it shows me otherwise.”
On the bright side, Vays says the fact that BTC is consolidating will become a bullish sign for Bitcoin if the leading cryptocurrency can continue trending sideways for a couple more months.
“Is this consolidation a sign of a low? Or is it a consolidation meant to be broken down to the downside? And this is the challenge that is hard to explain to non-senior traders.
If this consolidation lasts for six months, it’s good. If this consolidation lasts for three months or less, it’s bad. Right now, this consolidation has only lasted for four months. This consolidation needs to last at least six months. And it’s debatable whether this consolidation right now is the same as the consolidation back in September, because we’re clearly consolidating lower.”
The Ethereum Foundation (EF) is responding to reports that it’s…