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Cole Petersen

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Bitcoin and the aggregated crypto market have been struggling to gain any significant momentum
BTC has pushed off of its recent lows, however, it remains in a somewhat precarious position as its price continues trading sideways
Where it trends next will likely depend largely on the stock market, which has had intense influence over its price action
Still, its independent strength remains, as most on-chain indicators are flashing bullish signs
One analyst is now noting that the crypto was just able to post an incredibly bullish technical crossover
He notes that this crossover has an 80% success rate, which could mean a serious uptrend is imminent in the short-term

Bitcoin and the entire crypto market have been struggling to gain momentum over the past few days and weeks.

This has caused both bulls and bears to largely reach an impasse as BTC consolidates around $11,400.

Where it trends in the near-term may depend largely on its reaction to the resistance it faces around $11,600, as a continued bout of trading beneath this level could open the gates for it to see further downside.

One analyst, however, is noting that Bitcoin was just able to post an ultra-bullish technical crossover, which seems to indicate that a move higher is just around the corner.

BITCOIN CONTINUES CONSOLIDATING AS STOCK MARKET CORRELATION PERSISTS

At the time of writing, Bitcoin is trading up just under 1% at its current price of $11,450. This is around where it has been trading throughout the past couple of weeks.

The lack of momentum seen by BTC as of late has come about due to a consolidation phase within the stock market.

All eyes are closely watching to see if a phase 2 stimulus package is released in the near-term. Investors are also awaiting the results of the election before jumping into positions.

THIS INDICATOR SUGGESTS BTC IS ABOUT TO MAKE A BIG PUSH HIGHER

One trader recently explained that Bitcoin just posted a bullish TK cross above its cloud. He notes that this historically leads to a sharp upwards movement, with an 80% strike rate.

“Prior bullish TK recrosses with price above Cloud… you be the judge […] ill take the 80% hit rate.”


Chart via Josh Olszewicz. Source: BTCUSD on TradingView.

If history rhymes, this pattern indicates that serious upside could be right around the corner for Bitcoin.

Featured image from Unsplash.
Charts from TradingView.

Author: Cole Petersen

Source: Bitcoinist: THIS INDICATOR WITH AN 80% STRIKE RATE JUST FLASHED A BULLISH SIGN FOR BITCOIN

Bitcoin bulls have long been pointing to its potential as a “digital gold” as one reason why it will eventually garner widespread adoption. In spite of this, there has been conflicting research regarding this notion, and the potential for other major cryptocurrencies – including Ethereum (ETH) — to be safe-haven assets has often been overlooked.

Now, however, one research group is explaining that Ethereum may provide a notable hedge against intraday volatility seen across multiple markets.

This claim, and the data backing it, may ultimately prove to be another selling point for ETH, adding to the growing list of reasons why the crypto has significant long-term prospects.

Data shows Ethereum is becoming a hedge against volatility in traditional assets

In a recent report from Artem Meshcheryakov and Stoyu Ivanov from San Jose State University, the two researchers take a data-driven approach on analyzing whether or not Ethereum can be categorized as a hedge or safe-haven asset against volatility seen across multiple markets.

The methodology used to reach their conclusions is carefully detailed throughout the report, with data being pulled from five-minute pricing intervals between Dec. 12, 2017, and Dec. 31, 2018.

In conclusion, by comparing a variety of details surrounding Ethereum’s price action to that of the US stock market, gold, and the US Dollar, they found that the cryptocurrency is quickly becoming a hedge, safe haven, and diversifier across these markets.

“We find that Ethereum…can serve as an intraday hedge against the US stock market and against the gold. Also, Ethereum may serve as an intraday safe haven against gold markets. When currency markets are concerned, we document that Ethereum tend to act as a diversifier on intraday basis for the US Dollar.”

ETH’s long-term outlook continues growing bullish
The above conclusion is certainly bullish for Ethereum, as it now appears that its growing status as a hedge against global economic turmoil could bolster its attractiveness to investors.

Another key factor that has been counting in ETH’s favor as of late is the growing DeFi trend, which has resulted in a significant amount of Ethereum being locked within collateralized loans.

Currently, the total USD value of ETH locked within DeFi is over $1 billion, and it is showing no signs of slowing down anytime soon.

The confluence of strong development growth, bullish price action, DeFi’s rising popularity, and its potential status as a safe haven asset is likely to offer Ethereum significant long-term upside.

Ethereum, currently ranked #2 by market cap, is down 2.69% over the past 24 hours. ETH has a market cap of $28.83B with a 24 hour volume of $22.03B.

Author: Cole Petersen

Source: Cryptoslate: Step aside Bitcoin: data shows Ethereum is a hedge against global volatility

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