Coronavirus Outbreak Poses Threat To BTC

cryptocurrency market at,times acts as if is appealing to you,know what is happening globally on the,political and financial scene but there,certainly seems to be you know changing,and the thing is when things get serious,a lot of this is going to have to react,to what is happening on the ground,instead of Linear's and its own fantasy,world now the thing is Bitcoin seemly,futures as we have just seen is a more,accurate indicator of what could happen,is because what happens on the weekend,is mostly of little consequence whether,it's bullish or bearish sooner or later,the rest of the market catches up with,it now if we take a look here and see,what happened over the weekend we can,see here that's you know on this chart,we can see that things got pretty bad in,Europe as well now we're seeing that,Italy has seen 230 new cases which has,sparkler fear in in Europe and like,countries like Italy and you know this,is why the world is now taking it more,seriously because if it's happening in,China or Asian countries then that is,considered to be one country by the rest,the world they don't care much about it,but if it's happening in Europe or you,know in North America then that is taken,more seriously our thing is this is,going to have a strong impact on,financial markets

and we're already,seeing a strong reaction to that which,is we are going to discuss in this,knowledge but before we get into that,let us talk about what is happening with,Bitcoin now so first we want to take a,look at the big picture here and see,what is really going on and what could,happen next what we have previously seen,is that Bitcoin has been trading on,this trend line support here and then it,found support on this then declined,below it and what it declined below that,you can notice here that it turn into a,resistance so this turn on support then,turned into a resistance it failed to,break pass it here and then it declined,further and what I did that it ended up,then shooting how to begin a new cycle,from there and during next polish cycle,this trend lines support how to become a,trend line resistance now the same thing,happened again you know at this point,when we sketch a trend line from here to,here we saw how this as a trend line,support for normal after that it turned,into a trend line resistance so we are,waiting for another decision here and if,we take a look here we can see that the,price has run into the extreme end of,this flip circle here is going to have,to make a decision here so we have,already seen that if you were to draw,this trend line from here to here we can,see that this was a trend line support,that was broken here

and now it has,become a trend line resistance and we've,already seen the rejection here that is,why I keep saying that we might be in a,2014 style.i scenario here where we,could see some sort of a major crash,from here if the price declines below,this 200-day moving average once again,which i think is very likely now that,Bitcoin has lost the momentum to write,it further from here so let us not talk,about Bitcoin demands Bitcoin dominates,as we have previously mentioned is that,it this important 20.6% fib level and if,it breaks past is lower than it would be,breaking past this trendline resistance,which i think would be very significant,because if we mark the beginning for,trend reversal here in Bitcoin dominance,and a trend towards and but if a,dominance means that you know we might,be headed towards much higher level in,Bitcoin dominance and that means that,the cryptocurrency mothers are whole is,going to see a lot of pain and art coins,are going to fall more aggressively,compared to Bitcoin,now the coronavirus thing that we just,talked about is getting to be you know a,lot more demonstrating and this outbreak,is going to be you know it doesn't seem,likely that this is going to be resolved,and,and I think it is more likely to get a,lot worse before it gets any better and,if we take a look here we can see that,in Italy we were seeing a lot of panic,buying at supermarkets and that is a,trend that I think could be seen in,other countries as well because you know,this is not good and a lot of numbers,and figures from governments worldwide,are underreported to a very large extent,but if this can be just a quick you know,an abrupt outbreak in a country like,Italy in and in Europe then I think it,could happen elsewhere as well and by,the way over the weekend we also saw a,major outbreak in Iran as well

and this,not have begins we are happening more,seriously in South Korea and these,countries are going to begin to take it,more seriously now the thing is,countries like China and South Korea are,major like export partners for a lot of,countries in Europe and North America,and this is why I think it's going to,have a major impact on the stock market,because when supply chains are,interrupted here and you know you cannot,ship product of China or South Korea,then I think it is going to have impact,on businesses worldwide and you know,even just the outbreak of this pandemic,is going to if it keeps on increasing,then I think people are going to find it,more difficult to work and there's going,to affect business and life in general,so this is why I think this is not yet,priced into the market and I think it's,going to get a lot more worse before it,gets better and if we take a look here,at the S&P 500 we can see a strong,reaction to this and the S&P 500 started,the day trading below the 50-day,exponential moving averages I think it's,pretty significant because previously we,have been seeing a defender to a one-day,exponential moving average but all of a,sudden it has started the day below this,50 takes potential moving average and,left this massive gap here which tells,us who are like which tells us that what,happened what the weekend has been taken,very seriously by the,so if this keeps on spreading that I,think the market is going to take it a,lot more seriously,and if you take a look here at the,e-mini futures for the S&P 500 which is,like one-fifth the value of the S&P 500,but more quick to react we can see that,there has been a very aggressive,movement here and you know this is not,good this seems like the beginning of,something new something that could be a,beginning of a major change here and,this trend could reverse so this in no,way or shape could be any beneficial to,the cryptocurrency market because if,investors are worried

and they're,pulling out capital from you know the,stock market most of the companies where,are backed by real businesses then it,makes a lot of sense for them to be,pulling their money out of the,cryptocurrency market,I'm not just talking about Bitcoin I'm,talking about all these blockchain,projects if you want to call it that,they're not backed by any real,businesses and the tokens that you're,holding may not necessarily provide you,equity in the company so there's why I,think this is going to be a lot more,worse in the cryptocurrency market and,if we take a look here you can see that,you know to prepare this is like a,theorem they've lost momentum like you,know the price is getting nowhere so it,failed to break past this like it failed,to bring higher out of this ascending,triangle and you know for a while now,I've been waiting to see that this might,happen but it doesn't seem to be,happening now and this ascending,triangle might instead be a symmetrical,triangle of this form so this,symmetrical triangle that we see here,could lead to our break to the downside,as we can see on the other side that,there's now bearish divergence so that,could signal the beginning of a major,downturn from here and you know the,price would decline it out return or,moving average and eventually below that,because if we take a look here we can,say that you know things are not looking,good if they're against Bitcoin with the,four hour time frame which we can see,this is just one trend line it's hanging,on to so as soon as we see a break below,this trend line support I think this,would be beginning of a major down trend,because,you know the bullet would not be able to,save.