If you were trading Bitcoin or other crypto assets in late-2018, you likely remember the word “capitulation” mentioned time and time again. Why? well, after trading at $6,000 for months on end, BTC traders finally capitulated in November, resulting in the price of the leading cryptocurrency collapsing from $6,000 to $3,150 in four weeks’ time. This was the 2018 bear market’s capitulation moment.
Related Reading: Why a Fund Manager Thinks Bitcoin Will Rally 25% to $9,000 In One Month
With crypto as a whole entering back into a bearish state since Bitcoin’s year-to-date peak of $14,000 was established in June, analysts have been wondering if 2019’s bear market has had its own capitulation moment.
According to on-chain analytics, this event hasn’t happened yet, implying that prices of digital assets may have further to fall before a recovery. Sorry bulls…
Crypto Investors Still Need to Capitulate
Cryptocurrency analyst CryptoHamster recently drew attention to the below chart, which shows the SOPR (Spent Output Profit Ratio) indicator — an indication of the average Bitcoin holder’s profitability — over the past few years.
In it, he shows that the SOPR is a way in which analysts can accurately determine the four phases of Bitcoin’s market cycles: bull market, transition period, a bear market, and a capitulation event that starts the cycle again.
CryptoHamster noted that per historical trends, Bitcoin has not yet seen a capitulation event for the current cycle, implying that the crypto market could see one strong dip before a return to a bullish phase.
SOPR, 7-days-smoothed data. Markets phases are pretty clear (see the reaction of the indicator with the level "1"). Currently we are in a bear market and there was no capitulation yet. $BTC $BTCUSD #bitcoin@renato_shira pic.twitter.com/VyEQ0R0olo
— CryptoHamster (@CryptoHamsterIO) January 1, 2020
It is important to note that CryptoHamster is making this analysis from the perspective that Bitcoin’s price action over recent months was part of a bona fide bear cycle, not just an extended bull market correction as Willy Woo, partner at Adaptive Capital, has suggested.
Related Reading: Federal Reserve’s Record $235 Billion Repo Intervention Validates Bitcoin
Regardless, Bitcoin’s Trajectory Still Positive
No matter whether or not Bitcoin will see another capitulation event, analysts are convinced that the directionality of this industry is decisively positive.
Asia’s Global Coin Research released ts “Community Predictions for 2020” report, in which it cited countless industry executives. Changpeng “CZ” Zhao, the prominent chief executive behind crypto’s top firm, Binance, was quoted as saying that he thinks that the long-term trajectory for the Bitcoin and crypto market remains decidedly positive. He elucidated:
“Bitcoin is still a small market cap instrument so there will be high volatility in the short term. However, if you look at the fundamental technology, the longer-term view, about a 5-year or 10-year horizon, we’re very confident that bitcoin and cryptocurrencies are here to stay.”
Andy Bromberg, co-founder of CoinList, echoed this assertion in an interview with Bloomberg, remarking that from his perspective, there hasn’t been this much “building” in the crypto market since 2017.
Related Reading: Bitcoin Poised to Collapse Under $5,000? Market Cycle Fractal Suggests So
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If you’ve been on Crypto Twitter, you’ve likely heard the term “miner capitulation” time and time again in reference to Bitcoin. For those who have been living under a rock, Bitcoin’s drop which began earlier this year led the hash rate of the underlying network to flatline.
If you’ve been on Crypto Twitter, you’ve likely heard the term “miner capitulation” time and time again in reference to Bitcoin. For those who missed the memo, when BTC started to tank last month, the Bitcoin network’s hash rate began to stall, failing to grow after months of growth in the cryptocurrency mining ecosystem.
If you’ve been trading Bitcoin or been following the crypto news cycle, you’ve likely heard of the word “capitulation. ” Time and time again, this word, defined as “the action of surrendering or ceasing to resist an opponent or demand,” has been used in the context of the cryptocurrency market, often to describe a violent downturn.
Following a little momentum last week Bitcoin spent most of the weekend consolidating. It has been pretty flat for the past fortnight and analysts are now considering the unpopular premise of a final capitulation approaching which would mirror movements from this time last year.
There is no doubt that the crypto industry hasn’t been doing too hot over recent months. Since topping in June, Bitcoin (BTC) has collapsed by over 40%, falling from $14,000 to $7,800, where the cryptocurrency sits as of the time of writing this.
Last week, Crypto Twitter erupted with reports that “miners capitulated. ” Indeed, the Bitcoin Hash Ribbons — an indicator tracking the health of the network’s hash rate — saw a bearish crossover, with the short-term moving average crossing below a long-term one, signaling that miners have stopped expanding their farms.
The final nail was just put in the coffin of bulls. An indicator that tracks the health of the Bitcoin (BTC) mining ecosystem has just flashed bearish for the first time in a year, signaling impending capitulation.
The NBA is in a real pickle. After developing a strong reputation for political integrity and social awareness, they’re having a hard time sticking to their ideals when the money is on the table.
Bitcoin bears have continued to flex their muscles into Monday morning. After closing the week at a massive loss, with BTC posting its worst performance since November 2018’s capitulation event, bulls failed to make their presence known.
Bitcoin fund Adamant Capital is convinced that the bottom of the bear market is in, and true to its name, the firm has laid out an unwavering case for this position with some persuasive hard data and fundamental analysis.
Bitcoin has been treading water again and the last time that happened, in November at the $6,000 level, it was the prelude to a sharp fall. If that were true it would probably be good news for bitcoin as it would indicate that the final buyer capitulation required before there can be a sustained move […]
The post Bitcoin (BTC) Price Lift-Off Coming Into View As Capitulation Nears? appeared first on Ethereum World News.
Peter Brandt, the man who predicted the Bitcoin price dropping 85 percent in 2018, has appeared to call “capitulation” of the largest cryptocurrency. ‘Capitulation For A Time’ In a tweet, December 20, Brandt, who in January this year warned Bitcoin was heading to below $4000, reacted to this week’s sudden reversal of price declines across crypto markets.
The cryptocurrency markets posted slight gains over the weekend and have recovered slightly from last week’s dip that sent most cryptocurrencies, including Bitcoin, to fresh yearly lows. Despite the current price action being seen as capitulation by some investors, one analyst claims that the crypto bear market is still far from over.
Bitcoin continues to tumble lower and lower as it struggles to claim any footing in the market. It’s down almost 50% in three weeks and it’s showing very little sign of stopping.
There has been no letup in the pain that crypto markets are currently in. Since they started to head south last Wednesday a whopping $70 billion has been dumped resulting in a 33% slump in total market capitalization.
Bitcoin has tumbled again today as the market continues to see further downward movement shortly after breaking two areas of market support. So far, bitcoin is down 15% on the day — 25% in 1 week:Figure 1: BTC-USD, Daily Candles, Downward ContinuationThis drop below support is starting to display hallmarks of market capitulation.
Bitcoin price finally broke through $6,000 support, falling as low as $5,500 with the price still volatile at press time. Bitcoin Price Hits 2018 Low As Bitcoin (BTC) price has flatlined as of late, one could say that it was a welcome sight to have some action and volume.
Bitcoin (BTC) had a steep decline yesterday. During the last hour of trading, it plunged further into the red. This marks the completion of the final wave of capitulation. Bitcoin (BTC) has now begun the day in green.
Chart for ETH/USD (4H) Ethereum (ETH) investors have nothing to worry about. The recent decline in Ethereum (ETH) sure was frightful. It is alarming to see the price of an asset decline by more than 10% in a single day.
When we last discussed the ETH-USD pair, the price was testing support in the mid $200 range. Since then, the market has dropped another 30% as ether tests the waters in the upper $190 range:Figure 1: ETH-USD, 1-Day Candles, Macro TrendThe volume on the current drop has been exceptionally high compared to the beginning of its descent from the $800s.
Ethereum’s trading volumes have risen to $2.8 billion during the past 24 hours, the highest level we have seen in a very long time. For bitcoin, they’re at nearly $7...
The post Ethereum, Bitcoin Volumes Spike in Capitulation appeared first on Trustnodes.
In two short weeks, ETHUSD has devalued by 50% of its market value. With little to no relief for the underwater bulls, ether seems to be accelerating downward as buyer confidence is lacking and showing signs of capitulation.
Icon (ICX) is the perfect example of a bleeding cryptocurrency right now. The coin is down an alarming 96% since its all time high of $13. 16 in January. The price is currently trading at $0.
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Bitwise CIO Matt Hougan sees a significant opportunity in the disconnect between retail and institutional sentiments toward crypto. In a recent letter to investors, Hougan painted a bullish picture for the crypto sector, emphasizing that while retail investors remain skeptical, institutional capital continues to flow into the market at record pace.
Arthur Hayes, former CEO of BitMEX, predicted in a Jan. 27 blog post that Bitcoin (BTC) is likely to correct to the zone between $70,000 and $75,000 before reaching $250,000 by the end of 2025. Hayes argued that Bitcoin’s historical volatility makes a 30% correction plausible within this bull market.
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Bitcoin (BTC) registered a significant recovery in the past week, jumping from the $90,000 price area to a new all-time high at $109,357. 07 on Jan. 20. However, a new Bitfinex Alpha report warns that BTC’s upward momentum faces potential headwinds, as “sell-the-news” trading behavior looms large.
