The course of Bitcoin (BTC) enters consolidation after halving of Bitcoin cash and while several major stock exchanges are closed during the period Good Friday and Easter Monday.
Key technical factors of the article:
- Many fundamental factors bring in the BTC in short-term consolidation phase : the first halving of Bitcoin cash and the closing of the Chicago Mercantile Exchange this Good Friday.
- Bitcoin price technical analysis suggests short-term retracement only.
From the low point of Friday March 13 on the major technical support between $ 4,200 and $ 5,000, the Bitcoin price is developing a gradual and not very steep upward recovery, with an alternation between low momentum upward pulses and retracements. The market was trending towards $ 7,600 / $ 8,000, the high point of the price drop session on Thursday, March 12, but the recovery stopped yesterday at $ 7,500.
First an observation : this retracement is nothing exceptional, the market has been doing it regularly for a month, it is the principle of building a rise with a slight slope.
Then these are two data that serve as a pretext for short-term profit taking: the first bitcoin cash halving and the closure of major stock exchanges for Good Friday and Easter Monday.
Cryptocurrency market – TOP 10 in market capitalization (source TradingView)
The table above reveals the classification of cryptocurrencies according to their market capitalization at the market price determined on April 10 at 9:15 a.m. The Bitcoin still occupies an overwhelming place in the cryptographic universe and his little brother Bitcoin cash now occupies fifth place.
The latter knew his first halving on Thursday March 8, a division of the reward by block which resulted in some difficulties on the mining activity in the very first hours which followed. This market is naturally much smaller and less experienced than BTC but this has nonetheless generated a negative knock-on effect with a drop in the price of BTC cash which "contaminates" the price of Bitcoin.
Below, you can observe a graph which exposes the Japanese candles in daily data of Bitcoin cash. This market is starting a retracement after erasing 100% of the fall session on March 12, which the standard BTC has not yet done (you have to reach $ 8000 to do so).
Bitcoin Cash price in daily data
The price of Bitcoin consolidates largely because of this contagion effect of BTC cash, but also more probably of a classic profit-taking phenomenon after more than 90% increase from $ 3,850. This profit taking occurs while the Chicago Stock Exchange is closed on Good Friday (trading suspended for future contracts and BTC options on the CME) but will be open again on Easter Monday (note that the Paris Stock Exchange remains closed for Easter Monday).
Technically, consolidation should be limited to a return movement to the support at $ 6,500 / $ 6,800.
Follow Vincent Ganne on Trading View for further analysis on the financial markets. The technical thresholds and the trend indicated above are based on the technical approach "price, momentum, sentiment, ichimoku". The data come from Bitstamp and the graphics of TradingView. You can consult the history of our technical points on cryptocurrencies in click here.
This content is provided for informational purposes only and does not constitute an investment recommendation. We remind you that theinvestment in crypto assets, including Bitcoin, is extremely risky. Cryptocurrency prices are prone to large and unpredictable price swings.
Related posts:
GitHub Libra Code draws criticism from users 
Tipping on Reddit and Vimeo in BAT introduced by Brave 
Newcomers to the crypto market have to pay attention to scams and pump and dumps 
Hardly any growth in downloaded crypto apps, despite tripling price bitcoin 
Bloomberg accepts Bitcoin – says cryptomonads are here to stay 
The Central Bank can release their cryptocurrencies earlier than expected
