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Famed investor Michael Novogratz says bitcoin will soon break the $10,000 threshold as US turmoil spreads

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Bitcoin prices have been knocking on the doors of $10,000 resistance for quite a few days now; and a well-known crypto investor is announcing to his followers (and to a lesser extent, the general public) to "get on the train", that is, probably, to invest in BTC, taking advantage of recent events in the US.

 

https://markets.businessinsider.com/currencies/news/bitcoin-price-novogratz-forecast-says-break-level-us-turmoil-spreads-2020-6-1029273129

Spoiler

'Get on the train': Famed investor Michael Novogratz says bitcoin will soon break the $10,000 threshold as US turmoil spreads (BTCUSD)

 

Jun. 2, 2020, 10:21 AM

 

Longtime bitcoin bull Michael Novogratz of Galaxy Digital tweeted on Monday that bitcoin will soon take out the $10,000 resistance level and traders should get on board.

"$BTC is coiling. It will take out 10k soon. All the tragic turmoil in the USA adds to the narrative. Budgets are going one way and it's the opposite of balanced. When 10k goes it will move fast. Get on the train," Novogratz tweeted.

 

A few hours after the tweet, bitcoin did in fact break above $10,000.

 

In technical analysis, a coil is also known as a symmetrical triangle charting pattern. The pattern tends to be a continuation pattern of a former trend and occurs when a security makes a series of lower highs and higher lows.

 

Ten thousand has been an important resistance level for bitcoin, and a sustained breakout above that level would generate price targets with as much as 40% upside.

 

Novogratz said he thinks that turmoil spreading throughout the US only adds to the bitcoin narrative, with budget deficits likely to increase as municipalities grapple with depressed business due to the coronavirus pandemic as well as a surge in looting and rioting due to the George Floyd protests.

 

Novogratz isn't the only institutional investor who is bullish on bitcoin.

 

In May, hedge fund manager Paul Tudor Jones revealed in a client letter that his fund was long bitcoin in an effort to hedge against potential inflation.

Meanwhile, billionaire investor Chamath Palihapitiya said he was long bitcoin as a hedge against potential deflation.

 

While there are differing reasons for bitcoin bulls' investment rationale, they all tend to agree on one thing: Bitcoin is a decentralized security that has limited supply and can serve as a hedge against central banks' unlimited money printing policies.

 

A bearish view on bitcoin was recently published by Goldman Sachs, which detailed five reasons why investors should avoid the digital cryptocurrency.

Bitcoin surged 8% to $10,210 on Monday night. Year-to-date, bitcoin is up 40%.

 

As to the motive for raising this tweet, he must have been getting impatient with the resistance, and is mobilizing his followers to somehow make BTC go moon as soon as possible.

 

Bitcoin did broke through the $10,000 mark, but then receded again to $9,484.91 as of this writing.

 

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As a long term investor, I have been waiting for Bitcoin price to be skyrocketed. This recent price raise of Bitcoin has been given me inner strength and hopes after this 3rd halving event. I hope it will be directing towards $15000 mark very soon. Currently, it is looking like to be stable around $10000

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Hedge against both inflation and deflation. The billionairs are as confused and clueless in economics as the twitter accounts that make one false statement after another. (i.e. @macrobtc). I have seen people claiming that it was a hedge against the US-Iran tension, against the US-China trade war and many more stupid comments that they think they make a point. As the "Bitcoin fixes this" quote that they somehow spam on every irrelevant post. There is nothing wrong thinking big, just if someone dropped out of college and didn't finish his education that's what you get. What is the academic background of Chamath Palihapitiya? Software developer. Yet because of his success he thinks that he can have opinion on macro economics. Whatever I guess I can have an opinion on programming then and say that I don't like Python but prefer Java, although I don't know how to code.

Edited by BTC Future
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This news was posted 5 hours ago in this topic. This is pointless because bitcoin has already broken $10K resistance level yesterday and now it returned to $9K range again. This sudden jump happened quite fast and bitcoin remained high for about 16 hours which is visible on the following chart. I don't think such a fast and temporary movement has anything to do with US turmoils. It can be the effect of a manipulation by whales or just an ordinary sentiment of the market.

1.jpg

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I wonder if that tweet really was the catalyst for the rise. People tend to listen to some key figures, and with enough followers on that field it affects the price. I actually stumbled on in a perfect (and funny) example on this just while ago https://twitter.com/stoolpresidente/status/1267549580654190593

Edited by rekter
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@BTC Future If an opinion was given by somebody like us here, it would probably amount to nothing to the masses even if we happen to be experts at it; but in the case of influential people with lots of followers, if he/she gives an opinion outside of his expertise, some of his/her followers might take it at face value and even blindly uphold it. That's the power of influential people for you 😞 .

 

@Brushless4500KV This topic is less on the prices of Bitcoin these past few days and more on the opinion of a certain person about said price trend. And if you read the article, (according to the article) he actually based his assumption on something called 'coil'

Quote

In technical analysis, a coil is also known as a symmetrical triangle charting pattern. The pattern tends to be a continuation pattern of a former trend and occurs when a security makes a series of lower highs and higher lows.

and the U.S. turmoil only "adds to the narrative" as he said.

 

@rekter If there is an overwhelming number of 'sheep' who heeded his call at Twitter, then it might. BTW, I checked your link, and got a few laughs out of it too LOL.

 

Edited by kyoukage01
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That will be great if bitcoin price will break and stays above 10k again but this time I hope it will not crush after reaching that level and this is also the best time to buy some before it breaks.

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23 hours ago, Whited35 said:

As a long term investor, I have been waiting for Bitcoin price to be skyrocketed. This recent price raise of Bitcoin has been given me inner strength and hopes after this 3rd halving event. I hope it will be directing towards $15000 mark very soon. Currently, it is looking like to be stable around $10000

yes you are right and you have an advantage with long term investing into Bitcoin and I hope that people will earn more in cryptocurrencies and I hope that the price will rise for more and I hope that they can earn money with that rising of price

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8 hours ago, kyoukage01 said:

 

@rekter If there is an overwhelming number of 'sheep' who heeded his call at Twitter, then it might. 

There are already such accounts in twitter. Either they are TA gods or just enough people follow them. For example https://twitter.com/AngeloBTC has either caused btc pumps in the past or he has been lucky with his TA. There are many og whales who follow and respect him.

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The price of bitcoin was supposed to reach more than $ 10,000 after half, and this did not happen, and we know that cryptocurrencies have no relationship with a specific country or central banks, and that the turmoil of the United States will lead to raising the price of the dollar and not lowering it, which means that bitcoin will remain unchanged and the analyzes of this investor unrealistic

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As I always say, investing in bitcoin is always profitable at all times, in case you are the type that you want to invest for long periods, and everyone should keep pace with development and invest in bitcoin.

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5 hours ago, magd said:

The price of bitcoin was supposed to reach more than $ 10,000 after half, and this did not happen, and we know that cryptocurrencies have no relationship with a specific country or central banks, and that the turmoil of the United States will lead to raising the price of the dollar and not lowering it, which means that bitcoin will remain unchanged and the analyzes of this investor unrealistic

you don't understand how the halving increases the price, yes it's supposed to reach more than $10000 after the halving, but no, it won't reach it in the same week or even month, it will gradually increase in prices over the next year or 18 months at first it will be slow then start increasing exponentially


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15 hours ago, rekter said:

There are already such accounts in twitter. Either they are TA gods or just enough people follow them. For example https://twitter.com/AngeloBTC has either caused btc pumps in the past or he has been lucky with his TA. There are many og whales who follow and respect him.

Makes me wonder sometime if whether or not their 'sheep' actually think things through before following them. Yes, the points given by them might be sensible enough, but still...

 

If they do are able to influence the market to a certain extent, then it all boils down to whether the rest of us will ride on the coattails or not. It can still be taken as an opportunity to gain profits from it for traders.

 

I'll go check out the link sometime later, BTW.

 

15 hours ago, Albey mathews said:

Bitcoin broke the 10000$ resistance but it crashed soon after. I don't think bitcoin will again break that resistance. But we can wait see what happens.

If we were to follow the trend in Bitcoin's price increase after every halving these past years of its existence, then it can be certain that BTC will definitely break through the resistance, just not right now but maybe for a few weeks/months more. The following quote shares a similar sentiment:

9 hours ago, ETheHedgehog said:

you don't understand how the halving increases the price, yes it's supposed to reach more than $10000 after the halving, but no, it won't reach it in the same week or even month, it will gradually increase in prices over the next year or 18 months at first it will be slow then start increasing exponentially

 

Edited by kyoukage01
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Hmm I witnessed with my own eyes that bitcoin five times break then 10000$ level it's price takes stay on above 10k only maximum few hours one day after that huge one hours red candle and market goes down to 9500$ to 9230$ or 8850$ from last week of April 2020. So what next happen we need some wait. 

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Yes, this is expected and many analysts believe this, but perhaps it will not happen quickly, and I think this rise will be at the end of 2020.

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So many crypto analysis and expert already predict bitcoin reach 10k dollars, and now Michael Novogratz also predict but in this month bitcoin hit 10000$ dollars mark, but unfortunately its not continue pump up and in few hours market collapse and bitcoin prices down for 9500$ dollars, but once again reach 10k dollars and the resistance level then we definitely see one high time prices.

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So his prediction become true. I hope the Bitcoin again cross this $10k resistance level very soon and then it will only pumps. Many other experts are also predicted Bitcoin big bull run.

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I agree with this person, because the high price of bitcoin currency and reaching $ 10,000 has brought a lot of profits to a large number of investors and traders, and everyone expects that the price will rise and will reach $ 15,000 or more at the end of the year, so we have to wait patiently.

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I guess he's not the only one who wants Bitcoin to break the 10,000$ barrier and go to the moon !! We all hope so and I think Bitcoin will do it soon despite it fell back under a little 10,000$ but it still ranges in this place and I think the jump will be close.

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We hope for it but it is at strong resistance for days and it should be broken with high liquidity until it stabilizes above 10,000

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It is possible that the price of bitcoin exceeds $ 10,000 in the coming days because its price has increased significantly after the virus crisis period from $ 4000 to the current price and I think this is a good indication that the price will continue to rise until the end of this year

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we can say that if it is good time to invest in bitcoin although the resistance towards 10k takes several days at any time there can be a bullish movement and exceed 10k,if we invest today we can get good profits later.

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I also followed Micheal novogratz from longtime , at this time Bitcoin tradable on $9835 in binance n I think there is really highly chance that Bitcoin touch again $10K again within one or three day's .


19797726_signatutelogo.jpeg.5619939f2adcfc45c33a5e7577232a71.jpeg

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I can not just believe in anyone about what the price of bitcoin will be, in less than a month, bitcoin has gone over $10000 but could not increase further than to drop to less than $10000. So, this makes it not even certain that it will cross above $10000. 

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I agree with what the famous investor mentioned Michael Novogratz, and I think that the price of bitcoin will break the $ 10,000 barrier soon, and the price of bitcoin will continue to rise during the coming months and we may reach the end of the year 2020 to $ 15,000

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The nearest support for the pair lies in the 1.0670 zone, followed by 1.0600-1.0620, 1.0560, 1.0495-1.0515, 1.0450, 1.0370. Resistance zones are in the areas of 1.0740, then 1.0780-1.0810, 1.0865-1.0895, 1.0925-1.0940, 1.0980-1.1010, 1.1050, 1.1100-1.1140.   In the coming week, on Tuesday, 18 June, it will be known what is happening with inflation (CPI) in the Eurozone, and statistics on the US retail market will also be released. On Wednesday, 19 June, it will be a holiday in the United States: the country celebrates Juneteenth. On Thursday, 20 June, the number of initial jobless claims in the US will be known, and the Philadelphia Fed Manufacturing Index will also be published. And at the very end of the workweek, on Friday, 21 June, a whole series of preliminary business activity (PMI) data will be received in various sectors of the German, Eurozone, and US economies. The publication of the Fed's Monetary Policy Report on the same day will also attract considerable interest.   GBP/USD: What Will the Bank of England Decide on 20 June?   In autumn 2023, the BoE concluded that its monetary policy should remain tight for a prolonged period until inflation confidently stabilises at the target level of 2.0%. Based on this, despite a decrease in price pressure, at its meeting on 8 May, the Bank of England's Monetary Policy Committee (MPC) decided by a majority vote (seven to two) to keep the key interest rate at the previous level of 5.25%. (Two MPC members voted for a reduction to 5.0%).   According to the country's Office for National Statistics (ONS), since November 2022, the Consumer Price Index (CPI) has fallen from 11.1% to 2.3% – the lowest level since July 2021. The British central bank expects this figure to return to the target level in the near future but to increase slightly to around 2.5% in the second half of the year due to rising energy prices. Additionally, according to the May forecasts, CPI will be 1.9% in two years (Q2 2026) and 1.6% in three years (Q2 2027).   British inflation expectations for the near future have also decreased to the lowest level in almost three years, indicating a return to historically average levels. In May, the country's residents on average expected consumer prices to rise by 2.8% over the next 12 months, compared to a forecast of around 3% in February. This is stated in the results of the British central bank's quarterly survey.   Data on business activity (PMI) published in the first week of June indicated that the economy in the United Kingdom is relatively well. Activity in the manufacturing sector rose to 51.2 from 49.1 earlier. Some slowdown was shown by the PMI for the services sector – from 55.0 to 52.9, and the composite PMI – from 54.1 to 53.0. However, despite this, all these indicators remain above the 50.0 mark, separating growth from a slowdown in activity.   Certain concerns are raised by the UK labour market. Statistics published in early June showed a spike in jobless claims – by 50.4K in May after 8.4K the previous month. This is the largest monthly increase since the first COVID lockdowns. Before the pandemic, the last such spike was during the 2009 recession. Moreover, the unemployment rate for the February-April 2024 period rose to 4.4%. Of course, historically, this is a low level, but it is the highest in three years.    The next Bank of England meeting will be held on Thursday, 20 June. Analysts generally forecast that the interest rate will remain unchanged at 5.25%. This forecast is supported by the slowdown in inflation decline rates. Additionally, there is a significant increase in UK wages (+6.0%), which could push prices up. This, in turn, reduces the likelihood of the British central bank transitioning to a softer monetary policy in the near future. The start of QE may be delayed until September or later.   The BoE's tight monetary policy creates prerequisites for future demand for the pound. Meanwhile, last week, GBP/USD was driven by overseas data. On US inflation data, it broke through the upper boundary of the 1.2700-1.2800 channel and rose to 1.2860, then, following the FOMC meeting results, it fell and broke through the lower boundary, dropping to 1.2656. The week ended at 1.2686.   The median forecast of analysts for the near term is somewhat similar to the forecast for the previous pair. In this case, 50% of specialists voted for dollar strengthening, 25% for a northern trajectory, and 25% remained neutral. As for technical analysis on D1, the picture is also mixed. Trend indicators are evenly split 50:50 between red and green. Among oscillators, 60% point south (a quarter signal oversold), 20% look north, and the remaining 20% remain neutral. In case of further pair decline, support levels and zones are 1.2575-1.2600, 1.2540, 1.2445-1.2465, 1.2405, 1.2300-1.2330. In case of pair growth, resistance will be encountered at 1.2760, 1.2800-1.2820, 1.2865-1.2900.   Besides the mentioned Bank of England meeting on 20 June, including its interest rate decision and subsequent press conference, it is necessary to note Wednesday, 19 June, when fresh consumer inflation (CPI) data for the UK will be released. Friday, 21 June, also promises to be interesting. On this day, retail sales volumes and preliminary business activity (PMI) indicators in various sectors of the UK's economy will be known.   USD/JPY: BoJ Changed Nothing but Promised Changes in the Future   Unlike the Bank of England, the Bank of Japan (BoJ) meeting has already taken place, and its results were announced last Friday, 14 June. The yen's weakness in recent months has negatively impacted Asian currencies. In March, the central bank made its first move – raising the rate for the first time since 2007 (since 2016, it had kept it at a negative level of -0.1%). The regulator also abandoned the targeting of 10-year government bond yields. Investors closely watched the Japanese central bank for hints on whether it would further unwind monetary stimulus.   But for now, the BoJ decided not to change its accommodative monetary policy, maintaining the current pace of bond purchases at around 6 trillion yen ($38 billion) per month. However, it promised to present a plan for their gradual reduction at the next meeting in July. "We decided to subsequently reduce the volume of our purchases [within one to two years] to ensure more free formation of long-term interest rates in financial markets," the central bank statement said. At the same time, the regulator announced that it would gather market participants' opinions before making a specific decision.   The deposit rate for commercial banks was also left unchanged – officials unanimously voted to keep it in the range of 0.0%-0.1%, as expected. From this, experts once again concluded that the BoJ would not rush to tighten its quantitative easing (QT) monetary policy.   The French bank Societe Generale believes that given the pressure from the government due to the weak yen, the most likely scenario will be a reduction in bond purchases starting in August, with their purchases decreasing every three months and reaching zero by November 2025. Additionally, according to Societe Generale economists, the BoJ may raise the discount rate in September this year.   Of course, USD/JPY could not ignore such events of the past week as the US CPI figures and the Fed meeting: its fluctuation range exceeded 240 points (155.71 at the low, 158.25 at the high). However, the five-day result was not so impressive: starting at 156.75, it ended at 157.37.   Experts' forecasts for the near term look like this: not a single vote was given for the pair's southern movement and yen strengthening, while the remaining votes were evenly split: 50% pointed north, and 50% remained neutral. As for technical analysis, all trend indicators on D1 are coloured green. The nearest support level is in the 156.80-157.05 zone, followed by 156.00-156.10, 155.45, 154.50-154.70, 153.10-153.60, 151.85-152.15, 150.80-151.00, 149.70-150.00, 148.40, 147.30-147.60, 146.50. The nearest resistance lies in the 157.70 area, followed by 158.25-158.60, 160.00-160.20.   No significant economic statistics releases for Japan are scheduled for the upcoming week.   CRYPTOCURRENCIES: The Present and Future of Bitcoin Depend on the USA     In the absence of independent drivers, the crypto market has recently followed the dollar, which in turn follows the Fed, which follows the macro statistics from the USA. BTC/USD is like scales, with the main cryptocurrency on one side and the US dollar on the other. The dollar became heavier – bitcoin became lighter, and vice versa. On Friday, 7 June, strong statistics on the US labour market were released – the dollar became heavier, bitcoin lighter. On Wednesday, 12 June, it turned out that inflation in the USA was decreasing – the dollar weakened, bitcoin became heavier. And in the evening, the Fed calmed the markets regarding the interest rate – and the scales swung back. Just look at the BTC/USD and Dollar Index (DXY) charts – the inverse correlation leaves no doubt. In recent days, the flagship of the crypto market has lost about 7% in price. And the reason for this is the aforementioned monetary policy of the US Fed. Enthusiasm was not added by the fact that bitcoin-ETF inflows broke a 19-day streak. On 11 June alone, industry funds lost almost $65 million. The reasons are the same. They can be supplemented by the upcoming summer holiday season – a period of correction and lull in financial markets.   Traders note that recently, "digital gold" has been trading in a narrow range between $66,000 and $72,000. One of the popular market participants considers the lower mark an ideal entry point, while entry at the upper boundary of the range, in his words, carries high risk. MN Capital founder and analyst Michael van de Poppe does not rule out that pressure from sellers will persist in the near future. In such conditions, bitcoin may correct to $65,000 and even lower. However, van de Poppe does not expect a deep price drop. According to him, a large amount of liquidity is concentrated around the $60,000 area. This suggests that this level now acts as a strong support area, and positive dynamics can be supported by geopolitical instability.   According to surveys, more than 70% of the crypto community believe that BTC is on the verge of further growth. For instance, trader Captain Faibik is confident that bitcoin is preparing to break through the "expanding wedge" technical analysis pattern. According to him, breaking its upper boundary will open the path for the cryptocurrency to rise above $94,000. Trader Titan of Crypto, in turn, expects bitcoin to reach $100,000 this summer. The growth prospects of BTC are also indicated by the activity of large investors. According to industry representatives, whales are actively entering long positions on bitcoin. Cryptoquant CEO Ki Young Ju clarified that the $69,000 level has become particularly attractive for large investors.   New Binance CEO Richard Teng, who replaced Changpeng Zhao, believes that bitcoin will soon exceed $80,000. Teng associates the potential new high with the work of spot BTC-ETFs, which have strengthened trust in the asset. The Binance CEO also allows for the legalisation of cryptocurrency if Donald Trump is elected President of the United States. Declaring himself the "crypto president," Trump said in May that the USA should lead the global crypto industry.   However, at present, cryptocurrency regulation measures are in the stage of development and implementation, which restrains investments. According to experts, current investments should be considered test cases. It should also be noted that spot ETFs have attracted significant liquidity only in the USA – there is no similar interest in most countries.   According to billionaire Mark Cuban, the attitude towards cryptocurrencies will be a key difference between US presidential candidates Donald Trump and Joe Biden, although neither understands this issue. "Do you really think [Trump] understands anything about cryptography other than making money from selling NFTs?" Cuban asked. And he answered himself: "Neither of [the candidates] understands. But I've said many times that Biden will have to choose between [SEC Chair] Gary Gensler and crypto-voters, otherwise it could cost him the White House."  According to Bitfinex crypto exchange analysts, bitcoin's price could rise to $120,000-125,000 within a few months to half a year. Similar figures are named by BitGo crypto trust company CEO Mike Belshe. In his opinion, by the end of 2024, the first cryptocurrency will cost $125,000-135,000, and one of the catalysts will be the high level of US government debt. "Our macroeconomic climate continues to confirm the need for bitcoin. Undoubtedly, US government debt is out of control. [...] This situation supports the idea that bitcoin is the gold of the new generation," Belshe said.   He also noted that the US dollar is losing its position as the world reserve currency due to US foreign policy. The BitGo CEO believes that the country uses the dollar as a weapon and a means of manipulation. "Thus, the US debt crisis is one, foreign policy and sanction control is two. And BRICS offers alternative payment systems. [...] This is the story of why bitcoin exists," he concluded.   At the time of writing this review on the evening of Friday, 14 June, BTC/USD is trading at $65,800. The total crypto market capitalisation is $2.38 trillion ($2.54 trillion a week ago). Bitcoin's capitalisation has reached a solid $1.30 trillion, which, as experts warn, reduces the effect of future inflows. Pessimists say the asset is already "overheated," and to reach $125,000, its capitalisation must almost double. In their opinion, such a colossal influx during the overbought period is unlikely, so one should expect a correction and subsequent consolidation. The possibility of such an outcome is also hinted at by the Bitcoin Fear & Greed Index: over 7 days, it fell from 77 to 70 points and moved from the Extreme-Greed zone to the Greed zones. NordFX Analytical Group   Notice: These materials are not investment recommendations or guidelines for working in financial markets and are intended for informational purposes only. Trading in financial markets is risky and can result in a complete loss of deposited funds.   #eurusd #gbpusd #usdjpy #btcusd #ethusd #ltcusd #xrpusd #forex #forex_example #signals #cryptocurrencies #bitcoin #stock_market   https://nordfx.com/ 
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