Bitcoin Blasts to Nearly $12k, Closes Week Strong - Price Analysis

  • Short term: pullback near $12k likely; if $12k is broken, strong buy
  • Long term: 2019 uptrend looking ever stronger

For the last few days, Bitcoin (BTC) has been steaming solidly up after a decent bounce off of the important $9,400-500 support level. Now, after breaching the likewise important $10.6k resistance zone, BTC has exploded up to nearly $12,000.

We first look at the weekly closing. Last week has closed well above the prior, forming a bullish engulfing candle close. This close probably gave the market confidence to pile in during today’s trading.

Strong weekly close, but volume is still lacking overallBTC chart by Trading View

But we can qualify this bullish price action. For one thing, the volume has not exploded (Coinbase exchange) in tandem with price. For another, we can pick up a bearish divergence on the weekly RSI: higher price lows are met with lower RSI lows. The histogram, however, is flattening out nicely.

Getting down to the action, we look at the 4-day chart. Breaching and retesting the resistance zone around $10,600 was the catalyst for a strong push up, along with the bullish weekly close.

Some overbought conditions, volume on the declineBTC chart by Trading View

$12,000, like $13,000 on the last cycle, may not give way at this time. The histogram is flattening out, and the RSI here is quite overbought. A pause here seems likely; and if we look at the 12-hour chart we see why.

On the 12-hour, the clear formation of a downward channel suggests that the present pump may already be at an end, near $12,000. If price were to break out here, it would break completely clear of the local, post-May market structure. This could certainly happen, although the volume profile has not broken out of its own trend.

Good chance of rejection -- but you never knowBTC chart by Trading View

This general decline in volume suggests a period of consolidation - which has not ended until volume breaks. Even if price does not break out here, however, it would be extremely encouraging to retest the important 66 exponential moving average (EMA), which has been a critical moving average on the 12-hour chart during Bitcoin’s 2019 bull market.

In total, Bitcoin’s continued press above many critical levels is solidifying the notion that the July retracement period is over, and that Bitcoin’s full uptrend will soon resume. A break now of $12,000 would all but confirm that; and if not, a successful retest of $10,600, or even just $10,000 would continue to encourage that narrative.

The views and opinions expressed here do not reflect those of CryptoGlobe.com and do not constitute financial advice. Always do your own research.

Bitcoin Ransomware Hackers Lose Control of Their Decryption Tool

Michael LaVere
  • Software firm Emsisoft warns that attacks broke their own decryption tool for the Ryuk ransomware.
  • Affected users are at risk of having their files deleted despite paying the bitcoin ransom. 

A security firm has warned that the Ryuk bitcoin ransomware has broken its own decryption tool, causing affected users to lose their files even after sending the BTC ransom. 

Software company Emsisoft told news outlet The Next Web that the hackers behind the Ryuk ransomware are responsible for the decryption error. According to the security firm, a recent update made to Ryuk caused the program to alter the way it calculates the length files, inadvertently making the decryption tool defunct, 

As a result, the decryptor provided by the Ryuk authors will truncate files, cutting off one too many bytes in the process of decrypting the file. Depending on the exact file type, this may or may not cause major issues.

Users who pay the crypto ransom are still at risk of losing their files and data, depending on where the byte cutoff is made. 

Emsisoft recommends Ryuk victims backup encrypted data before running the decryption key,

A final word of advice: prior to running any ransomware decryptor – whether it was supplied by a bad actor or by a security company – be sure to back up the encrypted data first. Should the tool not work as expected, you’ll be able to try again.

Featured Image Credit: Photo via Pixabay.com