technical analysis bitcoin

Bitcoin (BTC) Firm Adding 19.3%, Iranian Authorities Seize Mining Gear

Avatar Dalmas Ngetich 4 months ago
  • Bitcoin (BTC) up 19.3 percent
  • China changing its wordings on Bitcoin

Steadfast as they are, Bitcoin bulls could get a shot in the arm in days ahead. That’s albeit news of Bitcoin mining gear seizure in Iran. So far, BTC prices are stable and may thrash predictions if there is a surge past $13,300.

Bitcoin Price Analysis

Fundamentals

After a mostly successful week, there is a predictable correction. Mild as it is, Bitcoin bulls are resilient, rejecting attempts of lower lows. However, considering how cautious market participants are, any correction below $11,000 could spark a wholesale dump.

Possible support is at $9,500 or lower, but in any case, any drawdown is another opportunity for savvy traders waiting for trend resumption. Already, this consolidation is allowing some to exit their longs in anticipation of a correction, clipping off some of their gains.

Despite speculations, Bitcoin fundamentals are changing for the better. Bitcoin bulls are solid. Encouragingly, China is changing its wordings on crypto as pundits interpret it as bullish. Overly, that will reassure the market. By any chance, if the Chinese government opens the door, allowing legal trading of any form, BTC will be the biggest beneficiary.

Meanwhile, reports in Iran reveal that state authorities seized 1,000 Bitcoin mining machines from two facilities within the embattled Islamic republic. Following an abnormal surge of electricity demand in June, investigations zeroed in on the two Bitcoin mining farms consuming around one megawatt of state power.

Regardless of Bitcoin energy needs, pegging the world’s largest asset to a utility draws value. Besides, in Iran, economic sanctions imposed by the US and allies is straining the country’s economy. As a result, Bitcoin is turning out to be a preferred store of value, which is fitting at a time when inflation is wiping wealth.

Candlestick Arrangement

Bitcoin BTC

Steady in the past 24 hours, BTC is bullish from last week. By adding 19.3 percent, buyers are in control. Note that BTC surge is nearly perpendicular.

Spiking to 111 percent year-to-date and adding over $10,000 after bottoming up from $3,200 at peaks, the sentiment is bullish.

Therefore, partly because of that, there is a rejection of lower prices. BTC bulls are firm above $11,200. However, since prices are ranging inside June 27 bear bar, sellers have a chance from an effort versus result point of view. If prices drop below June 26 lows, BTC will likely slide to $9,500 in a retest.

Technical Indicator

Anchoring this trade plan is June 26 bull candlestick. It is not only extensive, but the bar has high trade volumes of 81k. As such, any spike invalidating and confirming losses of June 27 or confirming buyers of June ought to be with high participation exceeding 81k.

Chart courtesy of Trading View. Image Courtesy of Shutterstock

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