02.10.201908:11 Forex Analysis & Reviews: Technical analysis of BTC/USD for 02/10/2019

Crypto Industry News:

The Bitcoin network experienced fresh turbulence on September 30, while at the same time there was information about a fire that destroyed $ 10 million mining platforms.

According to Marshall Long, one of Bitcoin's first active miners, the giant data center of the mining company Innosilicon began to burn on Monday. We still know very little details about the incident, but there was a movie showing that the machines were supposedly still working, although they were on fire.

Dovey Wan, the founding partner of Primitive Ventures, added that the total value of the equipment involved was about $ 10 million. Innosilicon has not published any public comments yet.

Commentators on social media quickly voiced concerns that the fire is to blame for the reported decline in Bitcoin's hash rate. On the day the incident occurred, the estimates of the computing power of the network involved in transaction processing fell from 86 quintillions h / s to 82 quintillions h / s.

However, as mentioned earlier, hash rate estimates give only a limited picture of the overall state of Bitcoin. Last week the indicator seemed to fall by 40% - later it was widely ignored by technical charts.

Technical Market Overview:

The BTC/USD pair has made a new local high after a bounce towards the level of $8,474, but the momentum is now decreasing. The bounce then is ratehr shallow and the technical resistance located at the level of #9,046 has not been hit as the price is still far away from it. There is still a chance for the wave (C) terminated already, but if the bears will keep making pressure on bulls then the price might reverse and target the level of $7,419.

Weekly Pivot Points:

WR3 - $11,446

WR2 - $10,627

WR1 - $9,093

Weekly Pivot - $8,403

WS1 - $6,727

WS2 - $6,011

WS3 - $4,444

Trading Recommendations:

Due to the short-term impulsive scenario invalidation, the best strategy in the current market conditions is to trade with the larger timeframe trend, which is still up. All the shorter timeframe moves are still being treated as a counter-trend correction inside of the uptrend. When the wave 2 corrective cycles are completed, the market might will ready for another impulsive wave up of a higher degree and uptrend continuation.