Bitcoin (BTC) up $40.8 Percent at 10-month Highs, Peaks?

  • Bitcoin (BTC) surge 40.8 percent
  • After Bill and Warren, Kevin now says Bitcoin is useless

Kevin O’Leary, the millionaire Shark Tank Host says Bitcoin is a useless currency with no use. Nonetheless, Bitcoin is a platform that is already disrupting traditional setups. After tomorrow, Bitcoin (BTC) could surge above $8,500.

Bitcoin Price Analysis

Fundamentals

It’s a sea of green and spearheading this recovery is the king, Bitcoin. After retesting a 10-month high of $8,335, price is up 40.8 percent from last week’s close but stable in the previous day, adding a measly 43.9 percent.

However, it is not about price anymore, it is what’s at stake, and the level of interest the world’s most valuable asset is drawing. Although supporters and critics agree that Bitcoin, despite blurry regulation in some jurisdiction is a worthy investment with the underpinning technology revolutionary, others are Kevin O’Leary insists that Bitcoin is “garbage.”

The Canadian millionaire and the founder of the company, SoftKey that draws $29 million in revenue per year, assert that Bitcoin is “useless currency” simply because investors use it to hedge against volatility.

“But everyone says, yes, you can. But, what happens is the receiver wants some guarantee. Let’s say you want to buy a piece of real estate for $10 million in Switzerland. […] They want a guarantee that the value comes back to you as currency at ten, you have to somehow hedge the risk of Bitcoin. That means it’s not a real currency.”

Candlestick Arrangement

At press time, Bitcoin (BTC) bulls are slowing down as prices correct after a parabolic rise. At spot rates, there is selling pressure, $250 off the second target at $8,500. With a long upper wick indicating liquidation, traders should avoid loading up at spot rates.

Note that today’s bar will likely close above the upper BB meaning there is an element of over-valuation. By extension that also hints to an impending dip.

Instead, the best approach is to wait for pullbacks ideally towards $7,500. In a retest phase, risk-off traders will fine-tune entries with the first target at $8,500 in a trend resumption stage.

Technical Indicator

Because of that, our anchor bar is May-11, high-volume bull bar. With 47k against 21k, it is wide-ranging. Therefore, for trend continuation, prices must react and snap back to trend or fall and nullify our stance at $7,500 with equally high participation rates exceeding averages or more precisely 47k.

Chart courtesy of Trading View

Author: Dalmas Ngetich

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