Cryptocurrencies moving to consolidation mode before Bitcoin Cash Hard Fork
Cryptocurrencies changed the uptrend end of last week and turned deep in red, wiping out billion of dollars of market value. However, the new week started with improved moods, following the positive session on Asian stock exchanges. Bitcoin raised to 6,440 USD after on Sunday fell to 6,360 USD. Other cryptocurrencies also stabilized on Monday with Ethereum trading at 212 USD, Ripple trading at 0.50 USD and EOS reached value of 5.43 USD.
However, the market sentiment is still with "Sell" assessment for the most cryptocurrencies, except Ripple and Bitcoin Cash, which has assessments "Strong Buy" and "Buy", respectively.
Last week Bitcoin Cash markets lead growth of all 2000+ digital assets, climbing over 51% in value and touching a high of 638 USD. However, the cryptocurrencies collapsed on Friday and extended loses during the weekend. The upcoming hard fork of the Bitcoin Cash was in the middle of the decline, due to some worries about long-term viability of ongoing contentious hard forks. The cryptocurrency price neglected to recuperate above 550 USD and declined as of late against the US Dollar, which turned into vital bearish pattern line-shaped with resistance at 535 USD on the hourly outline of the BCH/USD pair.
Bitcoin Price Analysis
Bitcoin trend is stabilizing in recent month, moving to consolidation mode, as it formed higher lows and lower highs in another symmetrical triangle pattern. Price is nearing the peak of the formation so a breakout might be due soon.
The averages of the Bitcoin price curve are still oscillating to reflect range-bound action, hardy making any strong directional clues at the moment. The stochastic is pointing higher, though, so there may be some bullish pressure in short-term. The RSI is also turning higher without reaching oversold conditions, indicating that bullish sentiment is eager to return.
In that case, Bitcoin closing above the triangle top around 6,400 USD could be enough to confirm for expecting upside trend in short-term. This might last by the same height as the chart pattern, which is between 6,000 USD and 7,400 USD.
Bitcoin Cash Hard Fork
November 15 will be one of the most important days for the Bitcoin Cash, as hard fork will result in the creation of two distinct digital currencies. While Bitcoin Cash is in itself a fork of the original Bitcoin, first released on the market last August, the currency is drawing renewed concerns over the long-term viability of ongoing contentious hard forks.
The best case of a hard fork is the Bitcoin Cash fork far from Bitcoin about a year ago. After that the Bitcoin Cash blockchain is indistinguishable to the Bitcoin blockchain, however starting there on it turned into its element and progressively has built up its locale, administrations, and now, apparently, its very own divisions.
Usually the hard forks affect positively the price of the cryptocurrency, which is the main reason for the analysts to give "Buy" assessment for the coin.
Cryptocurrencies in Daily Life
The cryptocurrencies extended their presence in the daily life of the Americans, after Great Lakes Science Center, a large museum and educational facility in downtown Cleveland, Ohio, announced that will start accepting Bitcoin as a payment method beginning November 13. Thus, the digital money conquered a new territory and will have widespread usage.
Also IBM said in a patent application that the process of conducting scientific research can benefit from the blockchain, as researchers can track their work across institutional borders.
Meanwhile, the US Commodity Futures Trading Commission (CFTC) has jailed a bitcoin trader and fined him over 1 million USD for running a fraudulent Bitcoin and Litecoin scheme. The trader admitted to defrauding investors of hundreds of thousands of dollars after misappropriating more than 600,000 USD of his previous employer's funds.
The regulatory problems and frauds continue to hamper development of the cryptocurrencies. On meeting last week, the US Commodity Futures Trading Commission's Technology Advisory Committee (TAC) highlighted issues with protecting investors' assets and how regulators may be able to assist in that area. The regulations of Bitcoin and other cryptocurrencies are important for the markets, as any sign can stimulate the growth of their value and renew the hopes for their widespread usage.
Posted from my blog with SteemPress : https://financeandmarkets.com/cryptocurrencies-moving-to-consolidation-mode-before-bitcoin-cash-hard-fork/