Crash – xMetaMarkets.com / Online Innovative Trading Facility Wed, 22 Jun 2022 05:40:08 +0000 en-US hourly 1 https://wordpress.org/?v=6.6.1 /wp-content/uploads/2022/07/cropped-Logo-menu-32x32.png Crash – xMetaMarkets.com / 32 32 Bitcoin Price Could Crash to $12,500 /2022/06/22/bitcoin-price-could-crash-to-12500/ /2022/06/22/bitcoin-price-could-crash-to-12500/#respond Wed, 22 Jun 2022 05:40:08 +0000 https://excaliburfxtrade.com/2022/06/22/bitcoin-price-could-crash-to-12500/ [ad_1]

A closer look shows that Bitcoin price formed a double-top pattern as it started this downwfall. In price action analysis, this pattern is usually a bearish sign.

Bearish view

  • Sell the BTC/USD pair and set a take-profit at 12,500.
  • Add a stop-loss at 22,500.
  • Timeline: 2-5 days.

Bullish view

  • Set a buy-stop at 22,000 and a take-profit at 25,000.
  • Add a stop-loss at 18,000.

The BTC/USD pair remained under pressure as investors worried about demand for Bitcoin and other assets like stocks and commodities. The pair is hovering at the 20,000, which has a lot of psychological importance.

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Crypto thinning demand

Bitcoin and stocks have been in a major sell-off as investors exit riskier assets following last week’s interest rate decision by the Federal Reserve.

During the weekend, Bitcoin crossed the vital support level at $20,000 while other cryptocurrencies went in a freefall.

They attempted to recover on Monday as investors bought the dip. Still, historically, some of these sharp rallies after a sell-off tends to be a dead cat bounce or a bull trap.

Bitcoin is also struggling as on-chain data point to more supply and thinning demand. The number of new accounts with brokers has dropped sharply even as more miners release the coins to the market.

At the same time, there are signs that many crypto investors are experiencing margin calls. Last week, there were rumours that MicroStrategy was approaching a margin call since the firm borrowed heavily to acquire its coins.

Other companies that have experienced challenges recently are Three Arrows Capital and Celsius. While these are the most prominent, analysts believe that many smaller companies are struggling. Most recently, members of Solend, a decentralized lending platform built on Solana voted to force the liquidation of a whale account.

There will be no major macro data this week to move the BTC/USD pair. The most likely catalyst will be a two-day testimony by Jerome Powell, the Federal Reserve chair. In these testimonies, he will likely continue to reiterate his commitment to accelerate the tightening.

BTC/USD forecast

Turning to the weekly chart, we see that the BTC/USD pair has been in a strong downward trend. It is in the third straight month in the red. Notably, the pair has moved below the key support at 20,000 and the 25-week and 50-week moving averages.

A closer look shows that Bitcoin price formed a double-top pattern as it started this downwfall. In price action analysis, this pattern is usually a bearish sign.

Therefore, by measuring the distance between the double top and its chin, there is a high probability that the pair will drop to the key support at $12,400. This means that Bitcoin is not close to bottoming.

Bitcoin

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BTC Crash Sees No End as it Falls /2022/06/21/btc-crash-sees-no-end-as-it-falls/ /2022/06/21/btc-crash-sees-no-end-as-it-falls/#respond Tue, 21 Jun 2022 02:09:57 +0000 https://excaliburfxtrade.com/2022/06/21/btc-crash-sees-no-end-as-it-falls/ [ad_1]

The outlook for the pair is bearish, with the next key support being at 15,000.

Bearish View

  • Sell the BTC/USD pair and set a take-profit at 15,000.
  • Add a stop-loss at 20,000.
  • Timeline: 1-2 days.

Bullish View

  • Set a buy-stop at 20,500 and a take-profit at 22,000.
  • Add a stop-loss at 18,000.

The BTC/USD pair crash continued during the weekend as sentiment in the cryptocurrency industry waned. Bitcoin declined to a low of $17,700, which was the lowest level since 2020. This price was significantly lower than the all-time high of almost $70,000.

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Bitcoin Sell-Off Accelerates

Bitcoin and other cryptocurrencies continued their sell-off as investors continued worrying about the new Fed policies and the soaring inflation. The market sentiment is equally negative across most asset classes.

The ongoing BTC crash coincides in a period when American stocks have been in a sharp decline. For example, the S&P 500 index officially moved to a bear market last week.

These assets declined as worries of a more hawkish Fed continued. In its interest rate decision last week, the Fed decided to hike interest rates by 0.75% for the first time in almost three decades. It also hinted that it will deliver another 0.75% or 0.50% in the coming month.

This hawkishness is happening at a time when investors are anticipating a recession as the American economy weakens. For example, data published last week revealed that the country’s building permits and housing starts declined sharply in May.

Meanwhile, the BTC/USD pair is falling as participants in the industry see red. Last week, it was reported that MicroStrategy was staring at a margin call as the value of Bitcoin holdings plummets. Last week, Celsius hired restructuring experts after a crisis in its operations emerged. There are fears that the crypto lender will soon go burst.

Three Arrows is another crypto company that has been in trouble. Once a $10 billion hedge fund, the company has seen the value of its holdings plummet in the past few months. There are worries that it won’t survive. Worse, other major players in the industry are going through similar issues.

BTC/USD Forecast

The BTC/USD continued its downward momentum as demand for the coin evaporated. This sell-off gained steam after the pair moved below the important support at 20,000. It also managed to move below 2017 high of 19,700.

Bitcoin remains below all moving averages, as shown in the daily chart below. At the same time, oscillators like the Relative Strength Index (RSI) and the Stochastic have moved below the oversold level.

Therefore, the outlook for the pair is bearish, with the next key support being at 15,000. A move above the key resistance at 20,000 will signal more upside.

BTC/USD

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EUR/USD Forecast: Euro Continues to Crash /2022/04/28/eur-usd-forecast-euro-continues-to-crash/ /2022/04/28/eur-usd-forecast-euro-continues-to-crash/#respond Thu, 28 Apr 2022 02:24:08 +0000 https://excaliburfxtrade.com/2022/04/28/eur-usd-forecast-euro-continues-to-crash/ [ad_1]

The market has continued to see a lot of volatility, and I think that is going to continue to be the case going into the future.

The euro fell rather hard on Tuesday as we are now approaching the 1.06 handle. This is an area that is the bottom of a larger consolidation area in the past, so whether or not it holds for support is going to be crucial. Bounces at this point should be selling opportunities, and I believe that the 1.08 level will more or less offer a bit of a short-term ceiling.

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The longer-term analysis clearly shows just how bearish the euro is at the moment, and with the European Central Bank not being able to do anything remotely aggressive from a tightening policy perspective, it is difficult to imagine a scenario where the euro suddenly takes off. I think at this point any rally will offer a nice opportunity for traders to pay close attention and start shorting at the first signs of exhaustion. The 50-day EMA is at the 1.0982 level and dropping. If we were to take out the 50-day EMA indicator to the upside, then I might be convinced to start buying. Until then, any rally looks as if it is going to offer “cheap dollars” going forward.

If we break down below the 1.06 handle, then it opens up the move to the 1.05 level, which in and of itself will cause a certain amount of psychological interest. However, keep in mind that the Federal Reserve is looking to tighten its monetary policy quite drastically, and this is part of what we have been seeing reflected in this currency pair. Beyond that, there is also the safety factor when it comes to the US dollar, and it is the first place people run to when there are a lot of concerns about the global economy. We certainly have plenty of those, so I just do not see a scenario where I would be a buyer of the euro anytime soon.

The market has continued to see a lot of volatility, and I think that is going to continue to be the case going into the future. It is a scenario where we simply do not have any real clarity when it comes to a positive outcome, so traders continue to favor the greenback and I think that is going to be the story for the next several weeks as inflation and global economic slowdown continues to be the biggest story.

EUR/USD

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Gold Forecast: Markets Crash into Support /2022/04/26/gold-forecast-markets-crash-into-support/ /2022/04/26/gold-forecast-markets-crash-into-support/#respond Tue, 26 Apr 2022 23:31:49 +0000 https://excaliburfxtrade.com/2022/04/26/gold-forecast-markets-crash-into-support/ [ad_1]

The market is one that you should approach with caution because there is so much volatility out there at the moment.

Gold markets got crushed on Monday to break through the 50-day EMA and then fell down to break below the $1900 level. There is a “zone of support between the $1900 level and the $1880 level. Because of this, the market will continue to be watching this area closely, because if we do break down below the $1880 level, it could very well kick off the massive selling. That being said, there is a lot of “risk-off behavior” around the world, so it will be interesting to see whether or not this can continue.

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One of the biggest things to work against the value of gold at the moment is the yield that we see in the 10-year note in America. That has had people looking for the “real yield” that you can get in the bond market, and of course, it also drives up the value of the US dollar because so many foreigners will be paying close attention to it. Beyond that, when you look at the length of the candlestick, it seems as if we are ready to break down further because when you close this low in the daily range, things typically get ugly rather quickly.

The market is at a serious crossroads right now, so it will be interesting to see how this plays out. If we do bounce, that could send the market reaching the 50-day EMA, which is currently at the $1926 level. The market is one that you should approach with caution because there is so much volatility out there at the moment. This is not only true with the gold market but all markets in general.

If we did turn around, I believe that the $1970 level will be a difficult barrier to overcome after this most recent move. If we were to break above there, then we could go much higher. It is worth noting that gold seems to be a bit hesitant to break down during the day, but we did get there rather quickly. This would typically work off some of the momentum and it is possible that the market needs to bounce at the very least. Regardless, if we get below that $1880 level, it is going to be difficult to see anything bullish in the short term.

Gold

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Crash to 38,000 Highly Probable /2022/04/14/crash-to-38000-highly-probable/ /2022/04/14/crash-to-38000-highly-probable/#respond Thu, 14 Apr 2022 07:14:10 +0000 https://excaliburfxtrade.com/2022/04/14/crash-to-38000-highly-probable/ [ad_1]

The pair will likely keep falling as bears target the key support at 38,000.

Bearish View

  • Sell the BTC/USD pair and set a take-profit at 38,000.
  • Add a stop-loss at 42,000.
  • Timeline: 1-2 days.

Bullish View

  • Set a buy-stop at 41,500 and a take-profit at 43,500.
  • Add a stop-loss at 39,000.

The BTC/USD pair continued crawled back slightly even after the strong American consumer inflation data. It is hovering at the key support level of 40,000, which is substantially lower than this month’s high of near 48,000. It is also lower than its all-time high of almost 70,000.

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Bitcoin Recovery Stalls

The BTC/USD pair has declined in the past few days after the US published strong inflation data. The headline data revealed that the country’s inflation rose to 8.5% in March, the highest it has been since the 1980s. Excluding the volatile food and energy prices, inflation rose by 6.5% in March.

On a month-on-month basis, inflation declined to 0.3%, the lowest level since August last year. The price action mirrored that of American stocks as the Nasdaq 100, Dow Jones, and S&P 500 indices rose by more than 1%.

This performance happened as investors predicted that the Fed will likely not be as aggressive as expected. Still, this small rebound could be a sign of a dead cat bounce considering that the latest inflation numbers were already baked in.

Meanwhile, on-chain data showed that investors used the recent rally to take some profits. At the same time, there have been limited inflow to Bitcoin and other digital currencies. As such, the market remains largely HODLer dominated as sentiment shifted from loss realization to modest profit-taking.

At the same time, activity in Bitcoin’s network has been a bit shaky in the past few days. According to Glassnode, the number of transactions per day has declined to about 225k. This is the same level of activity since the bear market that happened in 2019.

BTC/USD Forecast

The BTC/USD pair has been in a strong bearish trend in the past few weeks. As a result, the pair has managed to move below the 50% Fibonacci retracement level on the four-hour chart. The pair has also fallen below the 25-day and 50-day moving averages while the Relative Strength Index (RSI) has moved below the oversold level. The price has also dropped below the dots of the parabolic SAR.

Therefore, the pair will likely keep falling as bears target the key support at 38,000. On the flip side, a move above 42,000 will signal that there are still more buyers left in the market and invalidate the bearish view.

BTC/USD

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