Bitcoin Market Analysis: Bitcoin is again testing $10k support
- By Pierre-Alexandre
September 2nd, 2019
Bitcoin has dropped below its crucial levels of $10,000 in the last week of August 2019. Omenics' technical score still indicates a “bearish” trend for the cryptocurrency.
We are entering into the first week of September 2019 and well, the picture is not so gloomy for Bitcoin investors at this time.
Bitcoin was seen falling below crucial support levels in the last week of August 2019 as the Bitcoin price crashed below $10,000. In the last week, Bitcoin hit a low below $9500 levels losing between 9-10% on Wednesday, August 28.
However, it has managed to make a marginal recovery and closed the week at 6% price loss trading just above $9750 levels. At press time, Bitcoin is trading at $10,300 levels with a market cap of $185 billion.
At this stage, Bitcoin dominates nearly 70% of the overall cryptocurrency market.
Top Bitcoin News
- Bitcoin continues to draw the attention of global investors as fears of economic recession escalate further. The negative-yielding debt has crossed a massive $17 trillion.
Thirty percent of all investment-grade securities now have negative yields. In other words, investors who acquire the debt and hodl to maturity are guaranteed to make a loss.
— Bitcoin (@Bitcoin) September 1, 2019
Why not just buy #Bitcoin and HODL? pic.twitter.com/TuGB86hn8y
- Further, with the intensifying U.S.-China trade war, investors are losing their confidence in the world economy. At the same time, the Bitcoin Futures contracts have crossed a record 2 Million trades on the CME Exchange.
Volume update: As of July 23, CME Bitcoin futures have traded over 2M total contracts (10M equivalent bitcoin) since the December 2017 launch. Explore BTC: https://t.co/Z1LGfdrbFL pic.twitter.com/NkmQnMnliM
— CMEGroup (@CMEGroup) July 23, 2019
- Tim McCourt, CME Group managing director said: “This is an exciting time for bitcoin futures, as well as for cryptocurrency assets in general. There is a lot of broad investor interest in cryptocurrency, as well as growing interest in a variety of applications for cryptocurrencies and blockchain technology.”
- In a big push to Bitcoin adoption, the Portuguese Tax and Customs Authority have announced that Bitcoin trading, as well as other crypto transactions and payments, shall be exempted from Value Added Tax (VAT). In the official document, the authorities note that crypto-to-fiat conversions are free from tax and crypto investors don’t need to make any tax payments.
BREAKING: Bitcoin trading and payments are tax free in Portugal!
— Rhythm (@Rhythmtrader) August 29, 2019
There's no income tax on cryptocurrency earnings in the country, as just declared by the Portuguese Tax Authority
Bitcoin adoption will become the next space race!
- According to the latest CoinDesk report, Bitcoin mining farms are flourishing at the Bratsk hydroelectric station in Eastern Siberia. After the closure of several Soviet plants set up during the cold war era, the surplus of hydroelectric power in Bratsk is currently leveraged by Bitcoin mining companies.
At the same time, the Hashrate of Bitcoin network continues to make new All-Time-Highs highlighting the growing relative strength of the network.
1/3 The #Bitcoin economic model continues to prove extremely robust.
— Checkmate (@_Checkmatey_) August 31, 2019
With hashrate continuing to hit ATHs I have looked closer at the miner economic model with back-of-envelope checks.
Can you believe that Bitcoin has settled $7 Trillion in value over its lifetime! pic.twitter.com/GejlVK16JF
- Last week, the Burger King Franchise in Germany announced accepting Bitcoin payments via the company’s mobile payments application. Besides PayPal and Visa, Burger King will now accept Bitcoin payments at its stores.
BREAKING: Burger King in Germany now accepts Bitcoin in their app!
— Crypto Sara (@AltcoinSara) September 1, 2019
Every day more than 11 million guests visit Burger King restaurants around the world. It’s the second largest fast food burger place in the world.
BTC accepted here, BTC accepted there, BTC accepted everywhere! pic.twitter.com/CiWXh7B6dB
- Bitwala, the Germany-based blockchain company announced that European residents can now open their German bank accounts with integrated Bitcoin wallets, just over their smartphones. Bitwala stated: “customers in all 31 countries of the European Economic Area can access the benefits of a German bank account”.
Bitcoin Market Review Using Omenics Sentscore
As per the Omenics’ Sentscore chart, the overall market sentiment for Bitcoin remains “Neutral” in the last week.
The market sentiment dipped as BTC price tanked below $10K, however, it has recovered since then and surging northwards.
The news Sentscore indicator shows that the news around Bitcoin has moved from the “neutral” zone to now into the “positive” zone.
The social sentiment around Bitcoin dropped momentarily in the “negative” zone below 4. Later, it managed to recover back into the “neutral” zone but then again dropped below 4.
The buzz around Bitcoin shows a considerable drop in the “less content than usual” range.
Similarly, the technical indicator oscillates in the “bearish” zone below 4 showing a minor pullback since the end of the week.
By Pierre-Alexandre
Pierre-Alexandre is passionate about new technologies and innovation. After several years of experience in software and innovation agencies, he wanted to go all in on the blockchain revolution and co-founded Omenics.
