Demand

Dynamics within the global energy markets could define the future of Bitcoin and other cryptocurrencies, not specifically in terms of Demand and Supply. There are ongoing wars within the oil industry largely orchestrated by the fightings between major oil producing countries.

The transition to a new energy balance and sustainability passes through a new management of the networks, or rather a new conception of the networks themselves. And a key role for this new perspective can be played by the cryptocurrency, blockchain and distributed ledger technology (DLT).

From research recently carried out by a LinkedIn branch dedicated to training, blockchain and distributed ledger technology (DLT) will be the most requested hard skill this year (2020).

Bitcoin faces another price rejection in the New Year. Undoubtedly, the $7,600 has become a strong resistance which has been the biggest hurdle to jump over. Two days ago the coin suffered another fall, as the market continues to depreciate. In the previous fall, BTC was sent to a low of $7,000 on January 2. Regrettably, Bitcoin would have been in danger, if the $7,000 support also cracks.

Finally, buyers made a successful attempt to overcome the resistance at $136. The present move is not substantial as ETH is facing resistance at $140. The pair is retracing and if it is allowed to continue, it will wipe away all the bullish gains. Possibly, the price could drop to $128 low. The bulls are to ensure aggressive buying so that the price is sustained over $136.

The bulls have made four unsuccessful attempts at $136 as the coin continues its range-bound movement. Each time there is price rejection the market falls to the lows of either $124 or $128. Two days ago, the price retested the $132 and dropped at a low of $126. Later the price made an upward move.  This completes the bulls’ fourth attempt at the overhead resistance.

Surprisingly, the uptrend in the preceding week was foiled by the bears as the bulls failed to sustain the price above the $200 demand zone. Meanwhile, today BCH has moved up above the demand zone. Can the bulls sustain the upward move? In the previous analysis, BCH was trading at $205 and it was indicated that an urgent move must be taken or else BCH will go down. Expectantly, the bears took undue advantage and brought the pair to its low at $195.

Disappointingly, Litecoin has dropped to a low of $39 at the time of writing. In the previous analysis, it was stated categorically that if the support at $42 failed to hold, Litecoin will face another session of a downward move. The fact is that the pair made a remarkable move in the previous week to the high of $44 but was later repealed.

Regrettably, the bulls failed to jump over the hurdle at $136 after an initial positive move. Expectations were high as to the overcoming of the initial hurdle which will enable ETH to rise above $140. This will eventually lead to the previous larger price range. The price action has taken another dimension. After failing to break above $136, the market dropped to $130 low. The price pulled back and retested the $132 twice before resuming a downward move.