Ethereum extended its rally and it traded to a new all-time high above $3,000 against the US Dollar. ETH price is showing signs of more upsides towards $3,100 and $3,150.

Ethereum remained well supported and it gained pace above the $2,850 resistance. ETH outpaced bitcoin and it even cleared the $3,000 resistance zone.

It traded to a new all-time high near $3,060 and it settled nicely above the 100 hourly simple moving average. The price is showing positive signs and it could continue to rise above $3,060. On the downside, an initial support is near the $3,030 level.

The 23.6% Fib retracement level of the recent wave from the $2,928 swing low to $3,061 high is also near $3,030. The next major support is near the $2,995 level. There is also a key bullish trend line forming with support near $2,990 on the hourly chart of ETH/USD.

The trend line is close to the 50% Fib retracement level of the recent wave from the $2,928 swing low to $3,061 high. Any more losses might call for a test of the $2,925 and $2,920 support levels in the near term. The next major support is near the $2,850 level and the 100 hourly simple moving average.

If Ethereum remains stable above the trend line support and $3,000, it could continue to rise. An initial resistance on the upside is near the $3,060 level.

The first major resistance is near the $3,085 level. A clear upside break above the $3,085 level and could open the doors for a move above the $3,100 level. The next major hurdle for the bulls could be near the $3,150 level.

Technical Indicators

Hourly MACD – The MACD for ETH/USD is now gaining momentum in the bullish zone.

Hourly RSI – The RSI for ETH/USD is well above the 50 level.

Major Support Level – $3,000

Major Resistance Level – $3,150

Ethereum extended its rally and it traded to a new all-time high near $2,800 against the US Dollar. ETH price is correcting gains, but dips are likely to be supported near $2,650.

Ethereum remained well bid above the $2,650 support level, unlike bitcoin. ETH extended its rise above the $2,750 high and it settled nicely above the 100 hourly simple moving average.

It traded to a new all-time high at $2,800 before it started a downside correction. There was a break below the $2,780 and $2,750 levels. Ether is now trading below the 23.6% Fib retracement level of the upward move from the $2,560 swing low to $2,800 high.

It is still trading well above $2,700 and the 100 hourly simple moving average. There is also a crucial rising channel forming with support near $2,700 on the hourly chart of ETH/USD.

The next key support is near the $2,680 level. It is near the 50% Fib retracement level of the upward move from the $2,560 swing low to $2,800 high. Any more losses could lead the price towards the $2,650 support level and the 100 hourly simple moving average.

If ether fails to stay above the $2,650 support level and the 100 hourly simple moving average, it could dive towards the $2,580 level.

If Ethereum remains stable above the channel support and $2,650, it could start a fresh increase. An initial resistance on the upside is near the $2,780 level.

The first major resistance is near the $2,800 level. A clear upside break above the $2,800 level and the channel upper trend line could set the pace for a sharp increase towards the $3,000 resistance zone in the next few sessions.

Technical Indicators

Hourly MACD – The MACD for ETH/USD is now losing momentum in the bullish zone.

Hourly RSI – The RSI for ETH/USD is still above the 50 level.

Major Support Level – $2,700

Major Resistance Level – $2,800

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Bitcoin price tag started a new improve above the $55,000 resistance zone from the US Greenback. BTC examined $58,500 and it continues to be elevated for a go to the $60,000 zone.

This past week, bitcoin value remained secure above the $52,500 assistance zone against the US Dollar. The BTC/USD pair commenced a continuous raise and it broke a pair of crucial hurdles close to $55,000.

The selling price even broke the $56,500 resistance and extended its increase. There was a spike previously mentioned the $58,000 degree, but the selling price struggled around the $58,500 zone. A large is shaped near $58,494 and the price is now correcting lessen.

It traded below the $57,500 amount. There was a split underneath the 23.6% Fib retracement stage of the upward go from the $52,489 swing reduced to $58,494 high. On the draw back, there is a significant assistance forming in close proximity to the $55,500 zone.

There is also a critical bullish development line forming with assist around $55,400 on the 4-hrs chart of the BTC/USD pair. The trend line is near to the 50% Fib retracement degree of the upward go from the $52,489 swing lower to $58,494 superior.

On the upside, the value is dealing with a significant resistance in close proximity to the $58,000 and $58,500 stages. A effective near earlier mentioned the $58,000 and $58,500 resistance ranges could open the doors for a fresh new raise toward the $60,000 barrier.

If bitcoin fails over the $58,000 amount, there is a danger of a draw back correction. The 1st important assist is near the $55,500 stage and the craze line zone.

The upcoming major assistance is close to the $55,000 level and the 100 SMA. Any extra losses may possibly get in touch with for a new drop towards the $52,500 help amount.

Complex indicators

4 hrs MACD – The MACD for BTC/USD is losing momentum in the bullish zone.

4 hours RSI (Relative Energy Index) – The RSI for BTC/USD is now very well earlier mentioned the 50 degree.

Important Assist Stage – $55,500

Important Resistance Level – $58,500

Ethereum extended its rally and it traded to a new all-time high near $2,800 against the US Dollar. ETH price is correcting gains, but dips are likely to be supported near $2,650.

Ethereum remained well bid above the $2,650 support level, unlike bitcoin. ETH extended its rise above the $2,750 high and it settled nicely above the 100 hourly simple moving average.

It traded to a new all-time high at $2,800 before it started a downside correction. There was a break below the $2,780 and $2,750 levels. Ether is now trading below the 23.6% Fib retracement level of the upward move from the $2,560 swing low to $2,800 high.

It is still trading well above $2,700 and the 100 hourly simple moving average. There is also a crucial rising channel forming with support near $2,700 on the hourly chart of ETH/USD.

The next key support is near the $2,680 level. It is near the 50% Fib retracement level of the upward move from the $2,560 swing low to $2,800 high. Any more losses could lead the price towards the $2,650 support level and the 100 hourly simple moving average.

If ether fails to stay above the $2,650 support level and the 100 hourly simple moving average, it could dive towards the $2,580 level.

If Ethereum remains stable above the channel support and $2,650, it could start a fresh increase. An initial resistance on the upside is near the $2,780 level.

The first major resistance is near the $2,800 level. A clear upside break above the $2,800 level and the channel upper trend line could set the pace for a sharp increase towards the $3,000 resistance zone in the next few sessions.

Technical Indicators

Hourly MACD – The MACD for ETH/USD is now losing momentum in the bullish zone.

Hourly RSI – The RSI for ETH/USD is still above the 50 level.

Major Support Level – $2,700

Major Resistance Level – $2,800

Bitcoin selling price prolonged its decline under the $54,000 level towards the US Greenback. BTC is keeping the $52,500 guidance, but it will have to crystal clear $54,000 for a contemporary improve.

Bitcoin struggled to go on bigger higher than $55,000 and it started off a contemporary drop. BTC broke the $54,000 and $53,500 help levels.

There was also a shut under the $54,000 degree and the 100 hourly straightforward transferring common. The selling price examined the $52,500 guidance zone. A minimal is formed around $52,375 and the price is now consolidating losses. It recovered higher than the $53,200 level.

There was a crack above the 23.6% Fib retracement amount of the downward go from the $56,545 swing higher to $52,375 lower. It would seem like the price tag is now going through resistance in close proximity to $54,000 and the 100 hourly straightforward shifting common.

There is also a big declining channel forming with resistance around $54,000 on the hourly chart of the BTC/USD pair. The next major resistance is in the vicinity of the $54,500 degree. It is in close proximity to the 50% Fib retracement degree of the downward move from the $56,545 swing higher to $52,375 reduced.

A profitable split earlier mentioned the channel resistance and then a split over the $54,500 amount could established the tempo for a clean increase toward the $56,500 level. The future significant resistance earlier mentioned $56,500 could be $58,000.

If bitcoin fails to crystal clear the $54,000 resistance and the 100 hourly SMA, there is a hazard of extra downsides. An original assist on the draw back is in the vicinity of the $52,500 amount.

A suitable break and near down below the $52,500 degree is probable to set the pace for an additional 5% drop. In the said situation, the price tag could decline to the $50,000 assistance zone in the close to expression.

Specialized indicators:

Hourly MACD – The MACD is now losing rate in the bearish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is climbing in direction of the 50 level.

Key Help Degrees – $52,500, followed by $50,000.

Significant Resistance Amounts – $54,000, $54,500 and $56,500.

Ethereum price metrics prove pro traders

Crypto Signals by Forex FxPremiere Group As Ether (ETH) made a $2,800 all-time on April 29, so did its futures open interest. The $8.5 billion figure marks a 52% monthly increase and shows robust trading activity behind the meteoric price rise.

Some analysts might dismiss Ether derivatives, considering CME’s future has $355 million in open interest compared to Bitcoin’s $2.4 billion. However, Ether contracts were only launched a couple of months ago. Both FTX and Deribit require 100% full-KYC for their clients, and these markets hold a combined $2 billion in ETH open interest.

Bitcoin price started a fresh increase above the $55,000 resistance zone against the US Dollar. BTC tested $58,500 and it remains elevated for a move towards the $60,000 zone.

Bitcoin is showing positive signs and it recently tested the $58,500 resistance zone. The price is now trading well above $55,000 and the 100 simple moving average (4-hours). There is a key bullish trend line forming with support near $55,400 on the 4-hours chart of the BTC/USD pair (data feed from Kraken). The pair could correct losses, but it is likely to start a steady increase towards the $60,000 level. Bitcoin Price Gains Traction This past week, bitcoin price remained stable above the $52,500 support zone against the US Dollar. The BTC/USD pair started a steady increase and it broke a couple of important hurdles near $55,000.

The price even broke the $56,500 resistance and extended its rise. There was a spike above the $58,000 level, but the price struggled near the $58,500 zone. A high is formed near $58,494 and the price is now correcting lower.

It traded below the $57,500 level. There was a break below the 23.6% Fib retracement level of the upward move from the $52,489 swing low to $58,494 high. On the downside, there is a major support forming near the $55,500 zone.

There is also a key bullish trend line forming with support near $55,400 on the 4-hours chart of the BTC/USD pair. The trend line is close to the 50% Fib retracement level of the upward move from the $52,489 swing low to $58,494 high.

Ethereum price metrics prove pro traderss

After withstanding a volatile market, Tron [TRX], along with other altcoins like BitTorrent [BTT] and VeChain [VET], was trying to build back its value. However, the ongoing bearishness across the crypto-market was making it difficult for the altcoin to gain back its lost value.

Tron [TRX]

Tron’s market noted a visible surge in price as April began. However, this surge was followed by an immediate correction on the charts. TRX’s value was holding on to the support level at $0.1015, while it traded at $0.1076.

This downtrend was indicated by the Signal line as it moved above the candlesticks once corrections began. As the market opened up to more volatility, TRX moved towards the oversold zone with selling pressure also noting a rise. The MACD indicator also suggested that the bearish trend was in full swing as the MACD line crossed over the signal line.

BitTorrent [BTT]

BTT’s price was more or less moving sideways until a sudden shift in volatility pushed the price higher in February. However, the coin didn’t show any sudden price swing later. Recently, when the month began, BTT rallied above $0.0064 and maintained its value above this level.

At the time of writing, BTT was trading at $0.0069, a level that was close to this support. However, the Bollinger Bands indicated that while the volatile market had switched sides, the bearishness remained. The momentum had reduced drastically, but the asset remained at equilibrium, something which meant that the buying and the selling pressures were equal, at press time.

VeChain [VET]

VeChain’s price has also witnessed tremendous growth since the beginning of the year. The altcoin, unlike many others, did not surrender to the volatility brought about by the Ethereum and Bitcoin markets. Although it witnessed some impact, the price has largely remained high.

The VET token was trading at $0.1854, at the press time, while its support was at $0.1745. The price of the digital asset may hold on to this support and consolidate. This was affirmed by the Relative Strength Index since it suggested that the buying and selling pressures were equalized. Meanwhile, a bullish outlook was also painted by the Chaikin money flow indicator which remained positive hinting that the money was flowing into the market.

What traders need to know about the evolving Ethereum-Bitcoin relationship

Here’s what Ripple’s CEO has to say about possible support for NFTs

Namrata is a full-time journalist at AMBCrypto covering the US and Indian market. A graduate in Mass communication, while majoring in Journalism, she writes mainly about regulations and its impact with a focus on technological advancements in the crypto space.

TL;DR Breakdown

Today’s Bitcoin price prediction is bearish as the market has slowed down close to the previous swing high. Therefore, we expect BTC/USD to retest support at the $56,000 mark and potentially move even lower later today as bulls cannot sustain enough buying pressure.

The crypto market overall is in the green today. Bitcoin is up by 3 percent, while Ethereum trades around 2.75. Ripple and Cardano are among the best performers, with a gain of 13 and 11 percent, respectively. Meanwhile, among the worst performers is Dogecoin as it retraces some of the previous gains and is down by 8.8 percent. 

BTC/USD opened at $57,515 after a strong rally yesterday pushed the Bitcoin price back to $58,000. Today, Bitcoin struggles to gain further gains as it starts to consolidate around the $57,500 mark. Therefore, we expect another retracement over the next 24 hours, with the first major support level around $53,000.

BTC/USD price moved in a range of $$55,086 – $57,911, indicating a moderate amount of volatility. 24 trading volume has remained almost unchained with a small drop of 4.2 percent, totaling $67.4 billion. The total market cap stands at $1,067 billion, leading to a market dominance of 45.09 percent as the rest of the market continues increasing its share.

On the 4-hour chart, we can see BTC/USD slowing down today and starting to consolidate, indicating an upcoming retracement.

The overall Bitcoin price action momentum continues to lose momentum. After initially retracing more than 25 percent during the second half of April, BTC found support around $48,000. From there, the market price consolidated for several days before starting to push higher again.

Two clear pushes were seen, the first to the $56,000 and the second one to $59,000, indicating a bullish price action structure. However, on Monday, we saw BTC/USD fail to set further highs, which eventually invited bears to push the market back to the $53,000 support. Therefore, BTC has lost its bullish market momentum once again. 

Yesterday Bitcoin recovered most of the loss seen over the past few days as bulls pushed the price back towards the $59,000 local high. However, BTC/USD could not move above the $58,000 resistance, where consolidation was established. Therefore, we expect Bitcoin price action to reverse later today and look towards pushing lower again.

First minor support is seen around $56,000, while a much stronger one at the previous local swing low of $53,000. As mentioned in our previous Bitcoin price prediction, if bears take control over BTC/USD once again, we should see a further lower low set around the $51,500 support.

Bitcoin price prediction is bearish as the market cannot sustain further bullish momentum. Since BTC/USD has started to consolidate around the $57,500 price mark, we can expect bears to take over and push the market lower over the next 24 hours. 

While waiting for further Bitcoin price action, see our guides on Bitcoin wallets and faucets. To learn more about how to invest in Bitcoin, see our article on Bitcoin ETFs.

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.

Two seemingly unrelated assets that are showing solid performance are penny stocks and cryptocurrency. Many investors do not realize that we can draw several comparisons between these two unique asset classes. To understand why these two are similar, let’s take a closer look at some similarities.

Most cryptocurrencies are relatively cheap, with the exception of those like Bitcoin and Ethereum. However, the majority of popular cryptos are under $5. Penny stocks are defined as assets that trade under $5. While this may seem oversimplified, the price correlation between the two means that they can be comparable assets.

When it comes to penny stocks and cryptocurrency, there are also risks that investors should consider. Both of these assets often see large price swings during daily trading. This could lead to either large gains or significant losses. For example, it’s rare to see a blue-chip stock go from $50 to $100 in a single day. Yet it is likely to see penny stocks jump from $0.50 to $1.00 for example, during a given trading day.

If risk is not your thing, there are ways to help mitigate the fear of large intraday swings. The best way to invest in either cheap stocks or cryptocurrency is to develop your own strategy. This could be either holding a long-term position and taking profits every so often or day trading/swing trading. Both strategies can be valuable, but it truly depends on your investing style.

When developing your strategy, it is important to include proper research as well. Looking at recent financial reports, news, and rumors are all things that could help you find penny stocks to buy. If you are long-term investing, you might want to look for a multi-faceted company with several opportunities in its pipeline. 

If short-term investing is your niche, you might want to look for factors that could impact a company’s value in the short term. No matter how you invest, there is no denying the link between penny stocks and cryptocurrency right now. Considering this, let’s take a look at three penny stocks to buy as cryptocurrencies rally upwards.

Cryptocurrency is a big driving factor for many penny stocks right now. One example of this is SOS Limited, which just made several large announcements. Before we go any further, let’s talk about what the company does. SOS is a blockchain-based solutions provider and cryptocurrency mining operator. It has offerings for emergency rescue services, corporate needs, and individual security products.

On April 20th, the company announced that it has entered a purchase agreement for 575 cryptocurrency mining rigs. The rigs in question are for mining Etherum which has had a major rally in the past few weeks. These rigs will be delivered to SOS in a few weeks, which is something investors should consider. 

This will also help to solidify SOS’s cryptocurrency mining strategy. Globally, there has been a mining equipment shortage as more and more companies work to find a place in the crypto industry. Because of this, investors in SOS are more than pleased about this announcement. 

Yandai Wang, the CEO of SOS stated, “We are optimistic about the future of cryptocurrencies and Etherum in particular. This is part of our overall strategy to develop blockchain-based environments and services which will be a core part of our growth in 2021 and beyond”. This announcement resulted in a solid single-digit percentage gain upon its release. So, as crypto prices continue to rally upwards, SOS stock could be worth watching.

If you’ve opened the internet in the last 2 months, you’ve likely heard of non-fungible tokens or NFTs. NFTs are digital contracts that provide ownership through the use of blockchain technology. Companies involved in NFTs have seen large increases in publicity in the past few months. Interestingly enough, Hall of Fame, a hospitality and entertainment company, has now entered into the NFT space.

Hall of Fame Resort & Entertainment Company has partnered up with Dolphin Entertainment and H2H to offer NFTs. The companies will work together to develop, market, promote, and sell these NFTs. Hall of Fame announced that the first offerings will be sold to H2H Legends, which is a group of some of the greatest athletes to ever step foot on a football field.

President and CEO Michael Crawford added, “The demand for NFTs associated with sports has already been overwhelming. Given the brand partnerships we have with entities like the NFL Alumni Association, the Pro Football Hall of Fame and many others, we will continue to create a strong pipeline of content that will excite consumers for years to come.”

The rapidly growing crypto market has put NFTs into mainstream media. Many believe that this technology is the future of art and could have a variety of valuable uses. Considering HOFV stock is up more than 83% this year, it seems as though investors agree that this move was a positive one. Additionally, Hall of Fame has many facets that could make it a penny stock to watch moving forward.

HUMBL Inc. is another company working directly in the blockchain and crypto industry. It offers a digital money network that pairs consumers and merchants for commerce-related purposes. On April 1st the company announced the launch of the BLOCK Exchange Traded Index (ETX) products in the United States. This product will simplify digital asset investing, which could help its mainstream adoption. The Block ETXs will work with customers using Coinbase, Bittrex, or Binance.

In addition to this recent news, HUMBL announced the launch of the HUMBL Pay mobile application on April 16th. The application is for purchasing live event tickets, HUMBL financial services, credit, and more. 

Despite shares of HMBL dropping in several recent trading sessions, the company has a lot going for it in the long term. Volume for HMBL stands at well over its average as of the week of April 19th, 2021. 

On April 14th, HUMBL closed on a $3,000,000 bridge note from Brighton Capital Partners. The pair have also executed on an equity financing agreement for Brighton to purchase up to $50 million in HUMBL stock. This could be another explanation for the high volume that HUMBL stock is seeing right now. So with this in mind, will HMBL be on your penny stock watchlist?

From social media sites, online platforms, and businesses, market speculations seem to be everywhere. Cryptocurrency is flourishing with opportunities to attract individuals from different sectors, including Reddit stocks like GameStop, issuing new SPACs, and the popularity of Tesla stocks. Indeed you can utilize the available opportunities to earn big.

However, the “mania surrounding the market, coupled with excitement, might lead to losses. Dramatics swings from time to time seem to be the new normal revolving around these investment options. Business experts and Hollywood celebrities are expressing their interests in the crypto market and the SPAC investment.

What level of exposure do you need to boost your performance in the volatile crypto industry? Well, the high appreciation of particular assets might tempt you to try the waves. Use the following tips to stay on top of the game in the new normal.

Be honest about the current cryptocurrency atmosphere. Investing in such market conditions can be fun, thrilling, and the worst of all, painful. Although you can enjoy mania trading, it cannot be a suitable long-term crypto investment strategy. Acknowledge that you are a victim of mania trading regardless of your investment techniques. Accept that you are venturing into a risky space.

For how long can you tolerate investment declines before falling back? The best approach to trade in these overwhelming market conditions is by setting a price target. Keep in mind, setting the target is one thing and sticking to it is another. Some investors make the mistake of staying with a given asset or company willingly until things are out of control. You need to have your trading budget and follow it, keeping in mind that mania trading is not a long-lasting deal. Your target should be maximizing earnings while minimizing your losses.

If you are planning to invest at the moment, you may have to limit your crypto coverage to about 3%, 5%, or 10% of your trading portfolio. Understand the underlying risks and trade with what you can afford to lose. Professional traders can invest more, while new traders can be enthusiastic about aggressive approaches.

TRON (TRX) is one of the most active digital assets in the crypto world. In fact, the crypto has a market capitalization of almost $10 billion. This proves that more investors in the crypto world continue to support the TRON network.

In terms of technology, the TRON protocol enables developers to create different types of decentralized applications through smart contracts. Also, in the TRON network, anyone can host their content on the blockchain network. As a result, the audience around the world can directly pay the content creators in the network to access the content they created.

Now that we already have an understanding of the TRON network, let us see the charts below in this TRON May 2021 price analysis.

As depicted on the graph above, TRON (TRX) manages to survive the wild swing of the crypto market. In addition, the TRX was able to record a growth rate of almost +300% in the past few weeks. For this reason, TRX was one of the most talked-about digital assets in the crypto market.

If this bullish trend continues, TRX may have the chance to smash the Fibonacci level of 0.23, a bullish position. If it does, the doors towards the bullish price of $2 will open, an opportunity that TRX must not overlook. Of course, there is a big chance that this will happen if the bullish market continues to favor the crypto.

However, if the bullish market turns against the crypto, the crypto price might slide. In other words, the price of TRX might decline below the Fibonacci level .78, a bearish level.

In this event, TRX must be able to regain its momentum and climb back to its uptrend position. Otherwise, the bears might flip the existing support level to its new resistance level. Indeed, this is an event that could cause FUD among investors.

Meanwhile, the moving average convergence/divergence (MACD) of TRX is about to perform a bullish crossover. If it does, traders and investors can expect the crypto to perform more bullish signals. Conversely, if the MACD points towards a different direction and does not continue its crossover with the signal indicator, it will be a different story.

Bitcoin’s mining difficulty just fell 12.6%, the network’s largest downward correction of the year, following mass miner outages in China’s coal-rich provinces. 

Mining difficulty is a self-correcting and internally referenced score which dictates how hard it is for miners to find the next block in Bitcoin’s blockchain (Bitcoin’s starting difficulty was 1 – every increase from this indicates exponentially increasing difficulty). The difficulty adjustment ensures that blocks are added to the chain at a steady pace, roughly every 10 minutes on average.

Bitcoin’s mining difficulty is currently 20.608 trillion, according to data queried from this journalist’s node. This is down from the 23.581 trillion difficulty Bitcoin set nearly two weeks ago, an all-time high.

The sizeable drop corrects for the loss of hashrate the Bitcoin network experienced following coal mining accidents and subsequent inspections in Xinjiang. As they lost their chief sources of energy, bitcoin miners in this coal-heavy region went offline and Bitcoin’s hashrate fell by roughly a quarter. 

“The 12.6% difficulty drop is the largest negative difficulty adjustment since 2012, excluding November 2020 (end of hydro season), March 2020 (Black Thursday) and December 2020 (end of hydro season), meaning that it’s a great time to be a miner. The drop is primarily caused by the inspections and associated power outages in Xinjiang, and although the majority of mining farms in the regions have recommenced mining, the network hashrate has not quite reached all-time high again,” Compass Mining CEO Thomas Heller told CoinDesk.

Some of these miners are back online and Bitcoin’s hashrate has recovered, but as the difficulty adjustment suggests, more miners need to come back online still before the network is at the levels it sported a few weeks ago.

“The event in Xinjiang highlights that a major portion of hashrate production still occurs in China. Seasonal and government changes have the potential to swing hashrate levels and have profound impacts on network difficulty and mining economics,” Ethan Vera, the CFO of North American mining pool Luxor, told CoinDesk.

“Bitcoin’s difficulty adjustment algorithm is working exactly as planned, compensating for slower block times with a downward adjustment. While the 2,016 block epoch is not perfect, it has been battle tested against all sorts of events and always done its job.”

Vera expects the substantial correction to put miner profitability over 40 cents per terahash, meaning roughly “90% mining margins” for miners on average.

Bitcoin displayed why many investors are reluctant to view the coin as a currency just yet as it fell from $64,000 to $47,000 in a matter of days. Volatility was not limited to the downside, however, as recent losses were quickly stalled as the digital asset found support along a technical trendline. The decline of more than 25% has since been reversed, although further ground will have to be covered before Bitcoin can look to retake recent levels and continue its record-setting streak.

Chart created in TradingView

With robust risk appetite across the cryptocurrency world, bulls were eager to sweep in and gain exposure to BTC when it traded at its lowest levels since early March. The uptick in demand conveniently coincided with the 261.80% Fibonacci extension derived from the coin’s 2017 high to its 2018 low while the recent peak near $65,000 aligned with the 361.80% extension.

As a result, Bitcoin currently trades between these two Fibonacci boundaries and could look to derive influence from them again in the future. Despite the substantial volatility on display recently, Bitcoin may also run the risk of becoming range-bound alongside seasonal declines in volatility elsewhere.

Either way, the shorter-term technical picture is uncertain. Price action around Fibonacci support allowed for the creation of a double bottom formation - a pattern typically viewed as bullish - which was followed by a quick surge to the $55,000 level. With the neckline of the double bottom pattern surpassed, however, bullishness has slowed and Bitcoin will now look to stave of a reversal lower.

If Bitcoin bulls can hold on to recent gains the longer-term uptrend might remain intact but the precipitous breakdown beneath the January-derived trendline is a worrisome development to be sure. To that end, avoiding a lower-low beneath Fibonacci support is crucial for the longer-term technical outlook at this stage. If such a breakdown did occur, subsequent support might be offered by the coin’s February low near $43,000, but volatile price action might render the level obsolete before it can stall a decline.

In the meantime, Bitcoin will look to continue its recent recovery rally as it takes aim at potential resistance overhead. Early barriers to a continuation rally might reside along the series of swing highs developed over the last few months near $58,170, $61,650 and its all-time high near the $65,000 mark. Keep up to date on recent price developments and analysis using Twitter by following @PeterHanksFX.

--Written by Peter Hanks, Strategist for DailyFX.com

Contact and follow Peter on Twitter @PeterHanksFX

Venezuela’s leading aviation academy, Caracas Air, is now accepting BTC payments, as announced by CEO Oliver Laufer on Twitter. However, there’s a catch, those opting for this new payment method will receive discounts.

The company started in 2015 as Laufer’s idea, a Miami Dade College graduate, and worked with his brother to see its success. They sold everything they had 12 years ago and started a flight school, purchasing a Cessna 171 Skyhawk plane. Caracas Air currently has around 900 students and has become one of Latin America’s most rapidly expanding aviation academies.

Venezuela’s  major coins of preference are Bitcoin, Ether, Dash, and Eos. In the meantime, Binance cryptocurrency exchange had become recognized as the biggest commercial bank in the country, Banco de Venezuela. 

Hyperinflation has long been the menace facing Venezuela, which has been at the forefront of bitcoin adoption since the blockchain’s development. With the interesting move, Venezuela fled its national currency (Bolivia) and links to the U.S. Dollar after the death of Hugo Chavez in 2013 and chose instead to link its national currency to bitcoin . 

The year-on-year inflation rate alone amounted to 6,500 percent, which led Venezuelans’ savings to go up in smoke, causing an accelerated flight to the U.S. dollar. According to Ecoanalitica, a Venezuelan think tank, some 66 percent of the country’s financial transactions are now carried out in U.S. monetary terms. Simultaneously, cryptocurrency trading payments were on the rise, according to data from the Localbitcoins crypto-trading site.

The government has released the B.V. Wallet as their CBDC, where Venezuela’s current currencies can be converted into Bitcoin by any Venezuelan. The money is more stable but still wildly swings up and down the regular flows of bitcoin.

It is one of the world’s leading peer-to-peer trading countries, according to information from blockchain sleuth Chainalysis (behind only the U.S. and Russia). In big cities like Caracas, Maracaibo, or Valencia, it’s even possible to pay street vendors with digital coins. 

In every country, there are economic classes, and in Venezuela, it is no different. Mainly, it is the elites and upper-middle class who can afford to dip into cryptocurrencies. The poor internet connection in many parts of the country renders the residents unable to participate in digital coin trading. For most of the population, using digital currencies is still an illusion and may remain so for a while. A wide dissatisfaction with the socialist rulers of the country has driven 5 million Venezuelans to flee their country, of a population of over 30 million.

However, cryptocurrencies are a financial lifeline for many Venezuelans since their families in exile can send money home easily and affordably. 

A widely-followed analyst known for being the first to apply the stock-to-flow model (S2F) to Bitcoin says that BTC has just created a perfect setup for a spike up to $100,000.

The S2F, traditionally used in commodities markets like precious metals, compares the price of an asset versus the amount of new supply. Plan B has amassed a massive following with the stunning accuracy of the S2F and the S2FX, a variation of the S2F, which also takes into account gold and silver’s performance to reach a price estimation for Bitcoin.

In a new tweet, Plan B notes that a new colored dot, representing the close of another month on the S2FX model, is slightly down from last month, looking like a potential slingshot upward into the six figures.

“New dot… slightly down after 6 months up… looks like the perfect setup for jump towards $100,000. April close $57,200 March close $58,782 Feb close $45,240 Jan close $33,141 Dec close $28,992 Nov close $19,700 Oct close $13,816 Sep close $10,778.”

The pseudonymous trader also says that Bitcoin’s momentum indicator, the relative strength index (RSI), just broke its way above 90.

“Bitcoin monthly RSI 90… so what do you think, 95 soon?”

According to PlanB, the 2011, 2013, and 2017 bull markets were in full swing when the RSI hit above 95.

PlanB adds the current bull run looks less like the 2017 cycle, and more like the 2013 one which had a considerably more parabolic rally.

Despite Bitcoin’s already impressive performance in 2021, Plan B asserts that the boom cycle of the world’s largest crypto asset by market cap is likely far from over.

“Just to confirm that both S2FX model and on-chain signals indicate we are only halfway into this bull market and nowhere near the top.”

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