Bitcoin returns under 9000 dollars
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Bitcoin returns under 9000 dollars

By Federico Izzi - 8 Nov 2019

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The weekend starts with a shivering sensation. Since the beginning of the month, prices have fluctuated, in particular for bitcoin, in a price range of 500 dollars, the decisive return under the threshold of 9000 dollars, which is stretching below 8800 dollars, begins to worry operators who are about to experience a weekend that is far from boring. 

Source: COIN360.com

In the second part of today’s day, the entire cryptocurrency sector has reversed with signals indicating that the testing of the supports of the last 10 days.

The day sees a strong and clear prevalence of red signs. More than 90% are in negative territory. Among the big ones, there are drops that extend to -5%.

For example, bitcoin after the break of the 8,800 dollars is losing even more than 5%. Ripple (XRP) is even worse, extending the decline to 6%. Ethereum retreats but absorbs the decline and loses -2.5%. Bitcoin Cash (BCH), Bitcoin Satoshi Vision (BSV), Stellar (XLM), Tron (TRX), Cardano (ADA), Monero (XMR) also fall by more than 5%.

Scrolling through the list of the top 50 most capitalised cryptocurrencies, only two are able to give a strong signal against the trend: these are Maker (MKR) in 21st position and Synthetix Network Token (SNX) in 47th place, both uphill by more than 4%. Both benefit from the record of more than $660 million in counter value between USD, DAI and BTC, blocked by DeFi’s apps. Maker, which currently holds more than 50% of the DeFi market, by supporting the DAI stablecoin, allows ETH to be blocked, thus generating both active and passive interest.

The downturn in the sector is pushing down the capitalisation by more than 10 billion dollars from yesterday’s levels, with the total market cap falling to 237 billion dollars

The dominance of bitcoin loses a few decimals and goes below the threshold of 67%. Ethereum manages to better absorb the decline of the day and sees its dominance rise to 8.3%, while Ripple is struggling to keep above the threshold of 5%.

Bitcoin chart by Tradingview

Bitcoin (BTC)

Bitcoin returns under the threshold of 9000 dollars and in the next few hours will test the 8,700 dollars. Over the weekend, it will be important for BTC not to go beyond 8,600-8,500. 

An extension below these levels would cancel out the bullish effort achieved in the final part of October. For bitcoin, rather than evaluating the resistance, it is necessary to observe whether or not the 8,500-8,600 dollars are going to hold.

Ethereum chart by Tradingview

Ethereum (ETH)

Ethereum’s prices are back to test the 180 dollars, the first level of support in the short and medium-term that was repeatedly tested since the last strong rise on October 25th. 

A further bearish extension below 175 dollars could cause downward speculation that would not exclude a new test in the 160 dollar area. For ETH, exceeding the 195-200 dollars remains crucial and decisive, but in the last month, it has rejected any attempt to rise. 

 

Federico Izzi
Federico Izzi

Financial analyst and independent #trader – S.I.A.T. & Assob.it partner. He operates actively on stock and derivatives markets (futures and options) since 1997. A precursor of cyclic-volumetric analysis he is known for having identified the most important upward and downward movements in the financial markets of recent years. He participates annually as a speaker at the ITForum in Rimini since the 2010 edition and InvestingRoma and Napoli since the first edition of 2015. He is a guest and market expert on the "Trading Room" and "Market Driver" broadcasts of Class CNBC, Borsa Diretta.tv and on the evening news of Traderlink. Since July 2017 he is a permanent guest on LeFonti.TV, the only weekly national space dedicated to cryptocurrencies alongside the most important international experts in the field. Since May 2017 he is officially a Bigbit technical analyst. He was interviewed as a #cryptocurrency expert for Forbes Italia, Panorama, StartupItalia and DonnaModerna. He was recognized as the first Italian technical analyst to have published the first secular cyclic analysis on #Bitcoin. Periodically publishes articles on ITForum News, Sole24Ore, MILANOFINANZA, TrendOnLine and Wall Street Italy. Federico Izzi is... "Zio Romolo".

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