- Bitcoin (BTC) is crumbling
- The success of Facebook’s Libra instrumental for Bitcoin
Under attack for their reckless past, the success of Facebook will be immense for cryptocurrencies and Bitcoin. Even so, privacy is prime. Safeguarding personal data is a top priority. At the moment, the secure BTC is stable, bouncing back after this week’s rout.
Bitcoin Price Analysis
The line between maintaining privacy and violating the same is thin, not discernible for many companies. And it will get tight, if not worse in coming years. With the rise of blockchain and the general public apprehension, calls for protection will amplify and force regulators’ hands.
Of the many firms under the radar are tech companies describing themselves as social media giants. For a long time now, Google and Facebook have been blamed for misusing voluntarily submitted personal data, unnecessarily exposing users to vices.
Thanks to the insurmountable pressure to fine-tune their targeting for better reach and conversion, Facebook did not only pay a hefty fine of $5 billion-and ironically got richer, but their plans of Libra is under serious threat of cancellation or even ban. President Trump has given his two cents while Steven Mnuchin, the US secretary of Treasury, reasserted the President’s position.
While external solutions that tame the very problem of exploitation by safeguarding private details against data violation by tech companies exist via blockchain solutions as Tide, for example, Facebook’s broad user base is a perfect spring board.
Note that the success of Libra as a stablecoin will pique interest. Consequently, of the many curious Facebook users, some may decide to invest or trade Bitcoin with Libra as a safety net.
At the time of writing, BTC is steady with feeble bulls. A reprieve, and an opportunity for latecomers to exit their long positions, sellers are evidently in control. Even though that is not to dismiss buyers, the retracement from last week is an opportunity for risk takers.
If anything, and in line with previous BTC/USD trade plan, the draw down is a perfect re-entry for aggressive traders. In light of the above, it is imperative that buyers build momentum and reverse losses of July 16. That way, risk averse traders can buy the breakout.
Presently, note that July 16 bar is extensive. Besides, despite yesterday’s rejection of lower lows, prices are still trending the bar’s trade range. That, from an effort versus result point of view, is bearish.
As such, every pullback towards $12,000 is a selling opportunity with targets at $9,500 and later $7,500. Conversely, any rally with a remarkable high-volume bull candlestick surging past $14,000 will nullify this trade plan.
Because of the above, June 26 candlestick leads this overview. Any drastic surge or drop above $14,000 or below $9,500 should ideally be with high participation exceeding 82k. Any case, price losses below $9,500 could see BTC tumble to $5,500 in a retest.
Chart courtesy of Trading View. Image Courtesy of Shutterstock