was recently able to surge above its previous level of strong resistance around $4,000, but has not incurred any significant buying pressure since climbing above this price level. It currently remains unclear as to whether or not this former resistance level will now flip to become a level of support, which would be the best case for the .
One analyst recently pointed to an interesting trend, where the start of new Bitmex quarterly futures coincide with price jumps, which may give traders greater insight into the reasons behind what otherwise appear to be random price movements.
Could Bitmex Quarterly Futures be Influencing bitcoin (BTC) Price Action?
At the time of writing, is down marginally at its current price of $4,030, down from its recent highs of nearly $4,100. It appears that in the near-term, is now forming a fresh range between $4,000 and $4,100, which may persist as the new week begins.
Although many traders look towards technical analysis to justify price movements in the crypto markets, there may be other, more subtle, events that are having a tremendous influence on the market’s price action.
Luke Martin, a popular analyst, explained in a recent thread of tweets that empirically, price pumps have coincided closely with the start of fresh quarterly futures contracts on popular exchange Bitmex.
“$ move started right after new Bitmex quarterlies started … Identical pattern to previous two events highlighted in the thread. Mark this on your calendars going forward as it’s clearly an event the market is paying attention to. Beautiful,” he explained.
5/ move started right after new Bitmex quarterlies started .
Identical pattern to previous two events highlighted in the thread. Mark this on your calenders going forward as it’s clearly an event the market is paying attention to.
Beautiful.
— Luke Martin (@VentureCoinist)
Could bitcoin be Gearing Up for a Big Upwards Price Swing?
Although it still remains unclear as to whether or not recent price moves in the crypto markets are the result of fundamental events – like the Bitmex futures contracts – or due to , another popular crypto analyst recently pointed to growing fundamental strength as a possible catalyst for another upwards price surge.
“ 3D is riding/holding above the 20MA on the [Bollinger Bands] for the first time since end of 2017 Bull Trend,” Crypto Thies noted in a recent tweet.
3D is riding/holding above the 20MA on the , for the first time since end of 2017 Bull Trend
👌
— Crypto Thies (@KingThies)
As the next week begins it is likely that traders and analysts alike will gain greater insight into whether or not growing fundamental strength will be enough to push ’s price higher and to establish $4,000 as a new level of support.
Featured image from Shutterstock.
Published at Sun, 17 Mar 2019 20:10:33 +0000
