Crypto Market Update for 6 March 2020: Bitcoin, Ethereum, and Chainlink

This article provides an overview of how Bitcoin (BTC), Ethereum (ETH), and Chainlink (LINK) have been doing over the past 24-hour period, and covers recent news that might have affected their prices (or might do so in the future).

To give you a rough idea of how well the crypto markets are doing today, 18 out of the top 20 cryptoassets (by market cap) are currently in the green (against the dollar).

All market data used in this article was taken around 12:00 UTC on 6 March 2020 from CryptoCompare, which also provided the price charts shown in this article.

Bitcoin

BTC-USD 24 Hour Chart on 6 Mar 2020.png

BTC-USD is currently trading at $9,152. This means that the Bitcoin price has been under the $10K level for over two weeks (i.e. since February 19 when the Bitcoin price reached the intraday high of $10,225).

Although the past two-week period has not been kind to Bitcoin with a loss of 6.21% against USD, Bitcoin has still managed to gain 27.30% against USD in the year-to-date (YTD) period.

What is interesting about Bitcoin's price action yesterday and today is that amid the COVID-19 outbreak it seemed as though Bitcoin was performing like a risk asset, and yet on Thursday (March 5), fears over the coronavirus' impact on the U.S. and global economy caused U.S. stocks to suffer more losses, with the Dow Jones Industrial Average (aka "the Dow") ending the day 3.5% lower and the S&P 500 dropping 3.3%. 

As for today, the Dow and S&P 500 futures pre-market data is suggesting that Friday will be another gloomy day in the U.S. stock market.

Ran Neuner, the host of CNBC Africa's "Crypto Trader" show, sent out this tweet earlier today to show why he is feeling so bullish about the outlook for Bitcoin:

Ethereum (ETH)

ETH-USD 24 Hour Chart on 6 Mar 2020.png

At the moment, ETH-USD is trading at $240.78. Since the Ether price set a seven-month high ($285.70) on February 14, it has dropped 15.75%.

However, the YTD performance is a whole different story, with a gain of 84.36% against USD.

On Wednesday (March 4), crypto analytics startup Santiment, sent out the following tweets to point out that Ethereum whales are "once again beginning to accumulate higher percentages of the total token supply":

Chainlink (LINK)

LINK-USD 24 Hour Chart on 6 Mar 2020.png

At the time of writing, LINK-USD is trading at $4.726.

In the past seven-day, 30-day, and YTD periods, LINK-USD has gone up 19.52%, 65.07%, and 162.26% respectively.

And yesterday, we got the news of yet another partnership with Chainlink:

 

Featured Image by "AhmadArdity" via Pixabay.com

Time to Be ‘Cautious or Short' Bitcoin, Says Bollinger Bands Creator

Francisco Memoria

John Bollinger, creator of the popular technical analysis tool Bollinger Bands, has tweeted out it’s time to be “cautious or short” on the price of bitcoin, after the cryptocurrency’s price dipped below $10,000 for the third time since the so-called black Thursday.

On social media, Bollinger pointed out that bitcoin’s last move p over the $10,000 mark, which came shortly after U.S. President Donald Trump finished a speech on law and order in which he vowed to take “immediate presidential action to stop the violence” and said he was “mobilizing all available federal resources — civilian and military — to stop the rioting and looting,” was a head-fake.

A head-fake, Investopedia writes, occurs when the price of a security moves in one direction initially, but then reverses its course and moves in the opposite direction. These trades occur most frequently at key breakout points – for bitcoin, a key point was the $10,000 mark.

The price of the cryptocurrency dropped suddenly after breaking its key breakout level earlier this month over a flash crash on BitMEX that saw its price dip to $8,600 before it started recovering. CryptoCompare data shows that bitcoin is now trading above $9,600, but that since the March 12 coronavirus-induced market crash it has tested the $10,000 mark three times already.

Bollinger, it’s worth noting, has a decent track record looking at cryptocurrencies. In October 2019 the analyst accurately said the price of BTC dropping to $7,300 was a head-fake, and the price of the cryptocurrency then moved up in a significant rally to $9,500.

In April of this year, Bollinger tweeted out BTC was “moving into squeeze territory,” shortly before the cryptocurrency’s price started surging. He was, however, caught off guard by the Black Thursday sell-off, as were most investors and analysts.

It’s worth noting many in the cryptocurrency space are still bullish long-term. As reported early BTC developer Adam Back – who some believe could be Bitcoin creator Satoshi Nakamoto – has said he believes the price of the cryptocurrency will hit $300,000.

Featured image via Unsplash.