Cointree Crypto Market Update - September 16th 2020

Market update for traders

Jump to the beginner's version

Was that the bottom? Bitcoin began the week getting crushed to a low of $13,500 - and since then, it has recovered over 9% at the time of writing - fighting it’s way above $14,500 AUD.

As we discussed last week a drop to $13,500 would fully retrace last month's move to $17,000 and Bitcoin would need to find support here or face a hard fall on the AUD charts. The largest crypto by market cap is now uptrending as seen by the higher lows and in the last 48 hours, a breach back above the range high. The 50 EMA on the 4hr is providing a nice pillow for a bounce higher and we must now wait to see if Bitcoin has the strength to climb higher.

How quickly things can turn from fear to relief. The bulls will have enjoyed the strong bounce from the $13,500 level and for many onlookers the price finding it’s way back above $14,500 is significant. If bears cannot push price back into the range below expect a bowl shape to form as Bitcoin hunts to retest the 200 EMA at $15,000.

In a powerful week, nearly all major alt-coins followed Bitcoin into the green...Binance coin (BNB) was the big mover, up 35%, Neo was up 21%, and MCO token was up 14% over 7-days.

Market update for beginners

Was that the bottom? Bitcoin began the week getting crushed to a low of $13,500 - and since then, it has recovered over 9% at the time of writing - fighting it’s way above $14,500 AUD.

As we discussed last week, a drop to $13,500 would fully retrace last month's move to $17,000 and Bitcoin would need to find support here or face a hard fall on the AUD charts. The largest crypto by market cap is looking positive, moving up the diagonal trend line drawn on the chart.

Often in the past, we have seen Bitcoin experience heavy pull backs before continuing up, even in a positive market. This move looks to be no different.

Key Takeaway: How quickly things can turn from fear to relief. Investors will have enjoyed the strong positive reaction at the $13,500 level - and Bitcoin finding its way back above $14,500 is significant. If sellers cannot push price back under the contested area of $14,300, expect Bitcoin to make a move at $15,000.

In a powerful week, nearly all major alt-coins followed Bitcoin into the green...Binance coin (BNB) was the big mover, up 35%, Neo was up 21%, and MCO token was up 14% over 7-days.