Technical analysis of Bitcoin’s “buying streak” has indicated that Bitcoin
Technical analysis of Bitcoin’s “buying streak” has indicated that Bitcoin is slated to increase in value in the coming months, welcome news among investors who recently suffered through the “crypto winter”.
2018 was definitely not a good year for Bitcoin and cryptocurrencies, with the former losing its value by almost 80% and consequently dragging down other cryptocurrencies like ripple XRP and Ethereum.
The investors and cryptocurrency companies that weathered the crypto winter and were not forced to go out of business are now cheerful and optimistic about a better market situation in 2019, and many major stock exchanges across the world are planning to offer Bitcoin futures contracts. The highly anticipated Bakkt Bitcoin platform is also slated to be released in 2019.
The GTI Vera Convergence Divergence indicator, which investors use to detect trend reversals, shows that bitcoin is in its longest “buying streak” in six months, according to a report by media house Bloomberg. The GTI Vera Convergence Divergence indicator has some weight to its predictions, as its previous predictions have mostly turned out to be true.
The last time the GTI Vera Convergence Divergence indicator pointed towards potential buy signals, Bitcoin prices rose for almost a month.
Meanwhile, the Bloomberg Galaxy Crypto Index, which tracks some of the largest cryptocurrencies, is in its longest “buy streak” since bitcoin’s September rally, thanks to Ethereum’s recent rally.
This hopeful piece of news could not have come any sooner. 2018 has seen a massive number of operations concerning Bitcoin and other cryptocurrencies shut down or forced to relocate. Over a million cryptocurrency miners were shut down and sold by-the-kilo in China’s once-profitable mining district. Hundreds of companies trading with cryptocurrencies or startups working on making their cryptocurrencies went out of business, especially in the UK during the bearish market.
With strict regulations bogging down progress in the industry in many countries, the situation has become only tougher. Thailand and UK have been cracking down on cryptocurrency companies not following local regulations and many companies have been forced to relocate to Switzerland.
Hopefully, the predictions regarding Bitcoin’s prices rising in 2019 will come true and the industry will be on its feet again in no time.