- Bitcoin maintains push for a retaking of key resistance levels on the weekend start
- Analysts hold out hope for a massive rally as Golden Cross for Bitcoin primes the market
- Fidelity Investments has made a major investment into a Hong Kong digital asset platform
Bitcoin continues the arduous climb back up towards USD 10,000 but it won’t be easy, given that there hasn’t been much impetus either side of the divide since the last seven weeks of intensive activity in the markets. It does give a lot of time to either side of the market, however, and this could as easily be a period for sellers pausing to take breath as it could be a moment of consolidation for the buyers.
Nevertheless, the bulls tend to lie in wait and we’ll have to watch and see for the next two days before we can refresh our perspectives. Importantly, we will not only have to look for pushes in either direction, but also see if there will be any notable increase in volumes. Altcoins will also be looking the same directions, and will very likely take the cue from Bitcoin as they have done this entire year so far.
And if yesterday’s slow climb back was worrying investors, one piece of data reminds us that Golden Cross and Death Cross moments are all part and parcel of Bitcoin’s ten years or so in market existence.
According to one analyst from ARK, an investment advisory company, golden crosses have generally been good news for Bitcoin price in the short and medium term, although once, in December 2017 during the all-time high run up, there was a difference and price actually dropped. Yassine Elmandjra said:
“The only other time we’ve seen a greater dollar price drop is at the Dec. 2017 peak.”
When the moving averages (MA) cross over, in this instance, the 50-day MA and 200-day MA, a cross forms. It is golden then the 50-day MA rises to cross over 200-day MA, and it is a death cross when the opposite happens.
We’ve already seen one recently, and analysts are still hoping that a similar reaction will be ushered in as when the last one happened — resulting in a two-month rally that saw prices notch 170% rise.
The only worry was that Bitcoin shed USD 1,000 in just an hour this week, and this is actually the fifth biggest drop in Bitcoin’s entire history, and it happened just days after the golden cross emerged.
All the same, Bitcoin is above the 200-day MA and this means it is strongly bullish.
Look what happened after the previous golden cross. First it dumped around 10% and then it pumped 170% in 60 days. If history repeats we will see the price of #bitcoin around 25K before April. pic.twitter.com/xT9lqk3ZNx
— M11 (@M11Crypto) February 20, 2020
Influencer M11Crypto said:
“Look what happened after the previous golden cross. First, it dumped around 10% and then it pumped 170% in 60 days… If history repeats we will see the price of #bitcoin around 25K before April.”
Big investors with deep wallets are for sure convinced of the long term, and Fidelity International has shown just this by acquiring part of BC Group, the operator of OSL, who is among the largest institutional crypto platforms in Asia.
The 5.6% ownership acquisition was revealed by a Hong Kong Stock Exchange (HKEx) disclosure filed just days ago, for a transaction that concluded on 12 February. The details showed that over 17 million shares of BC Group were purchased for HKD 110.5 million (USD 14.2 million). This is all of the 19 million shares issued on the same date, making Fidelity International a direct investor of the Hong Kong entity.
While Fidelity declined to comment when approached by Cointelegraph, BC Group CEO Hugh Madden said that the raise would allow them to expand investments into new technology and compliance areas that aim to make them more competitive as the crypto market goes through “a rapid changing of the guard”. He commented:
“Licensing frameworks in every major jurisdiction are rewarding only the strongest and most professional operators, and these firms will continue to capture market share from unlicensed players.”
Image Courtesy: Pixabay
The post Trending Bitcoin News and Market Sentiment February 22, 2020: Golden Cross Hopes Still Looking for Massive Rally, Fidelity Investment Makes Part Acquisition of Hong Kong Crypto Platform appeared first on BitcoinNews.com.