Bitcoin analysis for 09/10/2017

Bitcoin analysis for 09/10/2017:

According to the Wall Street Journal, an international cryptocurrency may soon be launched. This might be an answer to recent comments by Christine Lagarde, chief of the IMF, to encourage banks and governments to become interested in Bitcoin and other cryptocurrencies. Following a recent announcement by the Dubai government of its intention to release a local cryptocurrency, the message should not be a surprise. In addition, recent information indicates a large number of banks interested in using Blockchain technology.

The difficulty of the global digital currency is the centralization factor, and the Bitcoin protocol is decentralized, creating a truly free market in which value is based without pricing. A global digital currency, providing decentralized security, would require the IMF to set and regulate values in order to manage the flow of money in different countries. Such a system would run counter to the principles underlying Bitcoin and is definitely not what the cryptocurrency users are expecting. Some Bitcoin supporters also argue that the new currency will never replace Bitcoin, because it already exists as a global currency and will always be more demanding because there is no centralization.

Let's now take a look at Bitcoin technical picture at the H4 time frame. The market has almost hit the second target projection for wave (c) at the level of $4,661, but was capped as the market conditions started to be overbought. Currently, the price is trading just above the weekly pivot at the level of $4,466 and might reverse lower soon as the top for the wave (c) of the wave B is about to complete. Any violation of the level of $4,444 and then $4,371 will confirm this scenario. Any violation of the level of $4,965 will invalidate the main count.

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