Will Bitcoin Price Reach 6,000 USD Soon? | Crypto Markets

Hi, I’m Giovanni, and today we are here with
Patrick Heusser from Crypto Broker AG, who is gonna give us his analysis on the latest
movements in the crypto market. So, Patrick, earlier today Bitcoin price shot
up touching $5,800 and the total market cap for Bitcoin reached $100 billion. What does this bullish move tell us about
the long term and short term price perspectives? Well, first of all, $5,800 suggests that we’re
going to see $6,000 which is a pretty interesting level. Having said that though, the way up will have
a bit of resistance, because we’re now pushing into the high volume range. We’re squeezing up currently due to short
margin trades, they get squeezed out, so it’s the pain trade right now. And on the longer term timeframes weekly or
monthly we see a real bullish set up there and looking for longer term gains to come. This is also combined with the halving coming
up in May 2020, which we think is one of the events economically and technically in the
Bitcoin space to look out for. That’s interesting. So, what do you think was
the reason for this growth? Well, that’s a bit difficult to say, there
is no particular reason for the current spike, it’s more of that the market brought himself
into an uncomfortable position, short margin trades are getting squeezed. They put on positions during the Bitfinex/Tether
FUD and now are being in a bear trap we call it, and this will take a bit more time till
these guys are squeezed out. So how is the Tether/Bitfinex ongoing controversy
influencing the market movements? That’s a good question, but pretty hard to
answer here in just a few minutes. But you have to bear in mind that there are
two topics or questions you need to think about it. First of all, is Tether systemic to the whole
crypto trading space. And then second thing, the connection between
Bitfinex and Tether. So short term we see a chance that the prices
will react to the downside if one or the other entity goes down. There is even a chance that both will go down
as to so intertwined. On the longer term perspective
we think that this is a good sign. It’s a clean up or a wash out
of semi-reputable counterparties and to pave the way
for institutional adoption. We need some proper
counterparties in this space. So while many analysts think that we will
test soon the psychological $6,000 resistance, other, more skeptical, say that we need first
to bounce back to their $4,000-$4500. So what do you think about that,
what’s your opinion? Well, I would say $4,800 is the level to watch. As long as we trade above that level,
I have a bullish case all the way. On the other hand, I would like to see a pullback,
but first I think the short margin trade is getting squeezed out. So we’re going to see $6,000 or even a little
higher than $6,000 on a very quick move up and then a retracement down again to $5,000,
$4,800 needs to hold. And then we have a clean
and more healthy way to trade higher. So one last question would be… While most altcoins repeated the Bitcoin pattern
in the last few hours, XRP registered far more modest gains. What’s the reason behind that? Well, first of all, the altcoins over the
past few weeks have not really followed Bitcoin. So they were in pain as well, but I give you
that, over the past six months Ripple underperformed heavily to Bitcoin performance,
and I have a very clear opinion why that is. The Ripple foundation is oversupplying the
market with their coins, and they are doing this by the master lending agreements, they
put out to professional counterparties and then they’re using them
as point of sale for their coins. So there is a constant oversupply of Ripple
coins in the market, of XRP, and that is clearly seen in the chart which is just trickling
down in a very decent sort of manner. And we then have those spikes up which are
only holding for like 12 hours and then the trend resumes to the downside. Thanks, Patrick. Here with us was
Patrick Heusser from Crypto Broker AG. Thanks for watching and don’t forget to subscribe
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15 thoughts on “Will Bitcoin Price Reach 6,000 USD Soon? | Crypto Markets”

  1. There are plenty reasons for the spike… many fostering through insecurity… any one who understands geopolitics and geopolitical events SEE how turbulent and fragile the existing financial model is. The dollar is tearing at its seams… Russia, China, iran, Venezuela, Africa… the World has its eyes open, We here in the "west" do not.

  2. This is why I hate TA …. it's stating the obvious while hedging your optimism …. TA is literally the same thing as fortune reading or palm reading. Just get a guy out him in front of a bunch of charts and monitors, have him use a bunch of techy words …… boom, you have TA.

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