Now that the US markets are also closed again we look at the live Bitcoin price and the prices of the top 25 crypto. In the process, we look at the Bitcoin Dead cross, a strong and sustained bull signal and the weekend forecast for the Bitcoin price.
Of course, we start with the live Bitcoin price and the prices of the top 25 crypto.
Live Bitcoin price rises, most crypto from top 25 also positive
The live Bitcoin price is quoting EUR 37,603.41 ($433,064.24) at the time of writing. This is 0.91% higher than when the US markets closed yesterday.
The prices of most of the other crypto currencies in the top 25 are also positive. There are some losers though. Biggest loser of the day is newcomer Fantom (FTM), which loses 2.44%. This is also the only crypto coin to lose more than 1%. We therefore see mostly green numbers on the digital price board. The biggest gain is for Polkadot (DOT), which today records a gain of 6.63%. Of course, on the Tradeincrypto.com website you can analyze all live crypto prices 24 hours a day and thus also throughout the weekend.
Now that the prices are positive we also start with a positive message. A bull trend has been spotted that analysts believe will have a positive impact on Bitcoin prices in 2022.
Bitcoin stock shortage seems real
As with any material of value, the price of Bitcoin is determined by supply and demand. If we look at how much BTC is in reserve at exchanges we see a problem emerging. As you can see in this analysis, Bitcoin inventory on exchanges is declining sharply (and has recently suffered a significant breach).
In addition, the stock of BTC at miners is rising significantly. This means that if this situation is not resolved, there will be a shortage of supply. Such a stock shortage leads to scarcity and that leads to a higher price. Of course, there comes a point when miners want/need to sell, which increases the supply and the scarcity (and thus the BTC price) declines again. For now, the BTC price doesn’t seem to be falling for the impending scarcity yet, but that seems to be changing soon.
Technical analysis for Bitcoin: dead cross and Elliott Wave Analysis
For those who follow mainly technical analysis, there was something special to see today. This means that the 50-day moving average fell below the 200-day moving average (our colleagues at Tradeincrypto.com explain here if you want to know more about moving averages). Although investors often see this as a bear signal, in practice this doesn’t seem to be so bad. The averages are calculated over the past. Such a dead cross is a confirmation of events that took place in the past.
As a result, a relatively large number of false signals arise. This is also evident from further analysis, because of the last 8 times that a dead cross appeared, only in half of the cases it turned out to be a harbinger of a price drop. So we will have to look for other signals to see if we can say something about the Bitcoin price.
However, if we factor in other signals such as liquidity and investor interest, there seems to be an upcoming so-called reversal on the contrary. This would mean in this case that we can expect an upward price movement. There are technical indicators that also give rise to this.
The Elliott Wave Analysis supports technical analysis
Just like for the possible price drop after a death cross, we also look for support for a possible price rise based on technical indicators. This support can now be found in the Elliott Wave Analysis, which we will look at below.
As you can see from ± minute 8, something indeed seems to be happening to the Bitcoin price in the short term. Given the uncertain market, the question is whether a correction will take place first.
Investors are watching the following Bitcoin prices this weekend
First, we see that the coin needs to stay above the $42,000 price level (where it has been moving around lately) in order to grow. This would mean that we are already going to see the announced reversal immediately. The currency would then have to overcome the resistance at $44,000, which yesterday still proved too strong. After that the road is open towards $ 50,000.
If the currency fails to hold $42,000, it will first complete the final correction based on the Elliott Wave analysis. This lies, if we look at the buying orders of large parties, between $ 38,000.- and $ 40,000.-, which again corresponds to the bottom that we see on the basis of the Elliott Wave analysis. After reaching this bottom the reversal towards $ 50,000 follows. With that, a nice return seems to be in store.
Of course we will follow the situation and update you after the weekend.
Want to stay up to date on the latest stock price developments?
You can always follow the developments yourself with our WANT crypto analyses or the background articles and previews on the crypto market and Bitcoin. Of course, you can also follow the live quotes 24 hours a day if you want to stay informed in real time. Are you interested in other investments besides crypto? Then our weekly price forecast might be a reading tip.
Note: We never give financial advice, so our contributions should not be interpreted as such. Always do your own research and decide rationally if, when, what and how much you want to invest in.