On Feb. 20 Bitcoin (BTC) price surprisingly dropped 8.85%, a move which caught many investors off guard as up to that moment the digital asset had recovered well from the Presidents Day weekend correction and was trading sideways in the $10,200 range. Citing data from CoinMetrics, ARK Invest crypto analyst Yassine Elmandjra tweeted that the $1,000 price drop was the fifth largest USD correction to occur on the hourly time frame since 2017.

Since the sharp downside move, traders, analysts, and crypto-Twitter have been attempting to pinpoint the source of the flash crash and a handful of theories have arisen. Some have attributed the volatility to the consecutive unplanned Binance exchange outages which halted trading on the platform and prevented many traders from being able to log into their accounts.

Others, like, Cointelegraph contributor and Bitcoin trader filbfilb speculated that a shortage of Tether (USDT) at Binance could possibly have contributed to the current market conditions.

In his Telegram-based trading channel filbfilb explained that the USDT shortage possibly shows that the majority of traders were in long positions, an observation further supported by the decreasing pace of Bitcoins momentum and the liquidation of $120 million leveraged longs at BitMex.

BitMEX XBTUSD Liquidations. Source: Skew.com

Regardless of the reason, the drop to $9,346 shook a lot of investors from their Bitcoin and altcoin positions and the current state of the market is negatively impacting investors bullish sentiment as they are choosing to wait on the sidelines for a clearer signal that a bottom has been reached.

Crypto Fear & Greed Index. Source: Alternative.me

Is the current price action a buy the dip opportunity or is Bitcoin on the verge of a significant trend change? Lets check the charts to see.

BTC USDT daily chart. Source: TradingView

As shown by the daily chart, Bitcoin formed a tweezer top candlestick pattern at $10,250 after recovering from the previous weekends drop to $9,450. This should have been a signal that the likelihood of a pullback could occur but traders were probably feeling bullish after Bitcoins quick recovery from $9,450 placed the digital asset back above key support levels.

Despite the shock caused by yesterdays correction Bitcoin price still found support at the high volume node of the volume profile visible range (VPVR) at $9,300 to $9,438. While this is reassuring, some cautionary notes are low purchasing volume which highlights a lack of buyers interested in stepping into the current dip and the state of the two most frequently referenced oscillators by traders not yet registering oversold conditions.

BTC USDT 6-hour chart. Source: TradingView

On the 6-hour timeframe, the relative strength index (RSI) has yet to manage an oversold bounce and the moving average convergence divergence (MACD) line continues to plummet, pressing on -100 at the time of writing.

Traders will also notice that the MACD histogram bars continue to elongate in negative territory (below 0) and the pattern of lower highs in the 6-hour chart is unbroken.

If buyers continue to believe the current price action is not a buy the dip opportunity the price could drop below the VPVR high volume node ($9,438) and the 200-day moving average at $8,800 where there is another VPVR high volume node.

The shorter timeframe shows the price slowly making higher lows but the purchasing volume is not significant enough to hold the price above $9,600. Over the short-term, bulls need to defend the $9,500 support (black arrow on chart below) as the daily and weekly timeframe shows it to be a key level. A more significant trend change could push the price lower to $8,800 to $8,400.

If we zoom out to assess Bitcoins price action since reaching its 2019 top at $13,800 on June 26, 2018, we can see that the 38.2% Fibonacci Retracement level has been a frequent area where the price has bounced after strong corrections.

BTC USDT daily chart. Source: TradingView

Since June 26, 2018, the price has bounced here more than 10 times and yesterdays pullback brought the price to the 38.6% level again. Its crucial that the price stays above this level because the 38.6% Fibonacci retracement has also functioned as a strong resistance once the price dips below it.

On the flip side, assuming the price breaks out, we can also see that the last three Bitcoin rallies on October 12, 2019,February 12, 2020, and February 18, 2020, have failed to break above the 50% Fibonacci Retracement level. Thus, Bitcoin price needs to secure a few daily closes above $10,250 (50% Fibonacci retracement) before any calls for $11,000 can be seriously considered.

For the short term, Bitcoin price needs to knock out $9,630 and above this price, $9,750 is likely to function as a level of resistance. A more convincing maneuver would be to see Bitcoin price overtake the 20-MA of the Bollinger Band indicator and sustain above $9,850.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk. You should conduct your own research when making a decision.

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Bitcoin Price Fights to Hold $9.5K to Stave Off a Trend Reversal - Cointelegraph

Michael Bloomberg, the billionaire former New York mayor-turned-U.S. presidential hopeful, has barely got his 2020 campaign off the ground but he's already talking about bitcoin and cryptocurrency.

Last year, U.S. president Donald Trump made bitcoin and crypto a 2020 U.S. election issue when he tweeted his opposition to bitcoin, cryptocurrencies and social media giant Facebook's planned libra project.

Now, Bloomberg, who appears to be following in Democratic race dropout Andrew Yang's footsteps in both bitcoin and meme-ery, looks to be setting himself up as the cryptocurrency candidate.

Democratic presidential hopeful Mike Bloomberg has said he wants to create a regulatory framework ... [+] for bitcoin and cryptocurrency development.

Bloomberg, who took a drubbing from all sides in the first Democratic candidate debate he's taken part in last night, has released a financial reform plan that promises to provide "a clear regulatory framework for cryptocurrencies."

"Cryptocurrencies have become an asset class worth hundreds of billions of dollars, yet regulatory oversight remains fragmented and undeveloped," the plan reads. "For all the promise of the blockchain, bitcoin and initial coin offerings, theres also plenty of hype, fraud and criminal activity."

Elsewhere, Bloomberg's plans for reform of the financial sector include forcing banks to hold significantly more capital on their balance sheets and a financial transactions tax which could potentially cost Wall Street trillions of dollars while significantly increasing regulatory scrutiny of financial activities.

Bloomberg, who made his fortune with the widely-used financial data providing Bloomberg Terminal and made his name through his eponymous media company, cut his teeth on Wall Street in the 1970s.

Bloomberg's media company, which he has promised to sell if he wins the White House, has become well-known for its bitcoin and cryptocurrency coverage, going so far as to secure the @crypto Twitter handle.

Other Democratic presidential hopefuls, including frontrunner Bernie Sanders, former vice president Joe Biden, and senator Elizabeth Warren have made no mention of bitcoin or Cryptocurrencies in their campaigns so far. Pete Buttigieg, the mayor of South Bend, Indiana, has only said he thinks bitcoin should be "treated as a commodity."

Bloomberg, who has run an unconventional campaign, far outspending any of his rivals and eschewing the early debates, has made his strong desire to see Trump ousted from the White House his core message.

On bitcoin and crypto, Bloomberg's broad financial reform plan promises to clarify which agencies are responsible for overseeing the burgeoning space, clear up uncertainty surrounding the tax regime, define when digital tokens are securities, protect people from cryptocurrency-related fraud, and define the requirements for financial institutions in the space.

The U.S. bitcoin, cryptocurrency and blockchain community has long been calling on the regulators to clarify bitcoin and crypto rules, though some have opted to move to friendlier regions.

Last year, Facebook, decided to set up the independent governing body of its libra cryptocurrency in Switzerland.

"Everyone in the know is already well aware of Europes clear guidance on crypto custody, exchange licensing, rules for issuance of payment, utility and security tokens," blockchain pioneer and managing director of Yeomans Capital David Johnston, who has recently relocated to Switzerland, said last week, adding: "European rules are very clear at this point."

The bitcoin price has rallied over the last 12-months but remains far from its all-time highs of ... [+] around $20,000 per bitcoin.

Meanwhile, some are concerned by the aggressive language being used by current U.S. regulators and officials in relation to bitcoin and cryptocurrencies.

Last year,U.S. Treasury secretary Steve Mnuchin warned that bitcoin will not be widely used in ten years timeandthat it could be considered a U.S. national security risk, while Minneapolis Federal Reserve president Neel Kashkari recently branded cryptocurrencies "a giant garbage dumpster."

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The Unlikely Answer To U.S. Bitcoin And Crypto Problems? - Forbes

Bitcoin failed to climb convincingly above $10,200 against the US Dollar. As a result, BTC declined heavily below $9,800 and it is now vulnerable for a bigger a correction.

Yesterday, we discussed the importance of the $10,200 resistance area for bitcoin against the US Dollar. BTC price made two attempts to clear the $10,200 and $10,300 resistance levels.

However, the bulls failed to gain traction above $10,200. A swing high was formed near the $10,300 level and the price declined heavily below the $10,000 support area.

Moreover, yesterdays major bearish trend line acted as a strong hurdle near $10,200 on the hourly chart of the BTC/USD pair. The pair fell more than 5% and traded below the $9,800 and $9,700 levels.

Bitcoin

Similarly, there was a strong decline in Ethereum below $270 and ripple dived below $0.2850. Bitcoin even spiked below the $9,500 support area and traded to a new weekly low at $9,344.

It is currently correcting higher above the $9,500 level, plus the 23.6% Fib retracement level of the recent decline from the $10,301 high to $9,344 low. On the upside, there are many important hurdles forming for the bulls, starting with the $9,750 level.

The first key resistance is near the $9,800 and $9,820 levels. Besides, the 50% Fib retracement level of the recent decline from the $10,301 high to $9,344 low is near $9,823 to act as a strong resistance.

Therefore, bitcoin price must clear the $9,820 resistance to make another attempt for a clear break above the $10,200 resistance.

If BTC fails to continue above the $9,800 and $9,820 resistance levels, there is a risk of more downsides. An initial support is near the $9,500 level.

A daily close below $9,500 might push bitcoin in a bearish zone. In the mentioned case, the bears are likely to aim a test of the $9,000 support area.

Technical indicators:

Hourly MACD The MACD is now gaining strength in the bearish zone.

Hourly RSI (Relative Strength Index) The RSI for BTC/USD is now well below the 40 level.

Major Support Levels $9,500 followed by $9,200.

Major Resistance Levels $9,750, $9,800 and $10,000.

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Bitcoin Just Signaled Sell And Its Vulnerable to a Massive Correction - newsBTC

Two leading cryptocurrency analysts say they believe Bitcoin is in a new bull market cycle, but predictions that BTC is poised to soar to $100,000 are far too bullish.

In a recent episode of Trading Bitcoin, Tone Vays and the pseudonymous trader Filbfilb debate the current state of the crypto market and where it may head in the months to come.

Vays says BTC needs to close above $10,450 to signal that a bigger move to the upside is in store. Bitcoin came extremely close to that number on Wednesday, reaching $10,444 before plummeting to its current price of $9,568, according to CoinMarketCap.

Filbfilbs says his target for opening a long position is significantly higher. Hes looking to see if and when BTC can cross $11,500.

As for how high Bitcoin may climb in the next long-term market cycle, both analysts say they expect a new bull market top to hit well below a litany of predictions calling for a parabolic rise to $100k.

Says Filbfilb,

I think were going to struggle to get past $60k. I think $60k is going to be a really, really troublesome level to get across. Ill certainly be looking to book in some serious profits at that point.

I think you said it right in Fiji. I think you said the return you get off of these long-term positions versus the risk of you getting it wrong is a terrible trade. So trying to go higher than $60k I think would be a little bit foolish at this point. But certainly around $50k, $60k would be sensible.

Vays says hes looking for BTC to top out at a slightly lower price of around $45,000.

Although the traders say hype around Bitcoins halving is fueling price action in early 2020, they say rising trading volumes and an increasing number of outstanding derivative contracts are key metrics to watch in order to gauge real long-term interest in the space.

Featured Image: Shutterstock/sustainableart

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Top Cryptocurrency Analysts Say $100,000 Bitcoin Predictions Way Off Base Heres Where They Think BTC Will Land - The Daily Hodl

Coronavirus has spread from Wuhan, China, to countries across the world. But how do you know you have it? Here are some signs to watch out for. USA TODAY

Sometimes it's hard to avoid surfaces and objects that other peoplehave touched, which is a common way for bacteria to travel. Numerous studies have shown that ATMs, credit cards and thosepayment tablets popping up in restaurants are rife with all sorts of illness-causing germs. Plus, despite the rise of digital wallets, millions of Americans still useold-fashioned paper money every day.

Which raises the question: Can coronavirus live on the cash in your pocket or on the plastic in your purse?

If someone is coughing, and then they hand their credit card to someone across the counter, I wouldnt rule out the potential of transmission.

"Cash is not a good vehicle to transport respiratory viruses, however, cards have a little bit more potential," said Dr.Susan Whittier, a clinical microbiologistat New York-Presbyterian Hospital at Columbia University Medical Center."If someone is coughing, and then they hand their credit card to someone across the counter, I wouldnt rule out the potential of transmission."

Coronavirus fallout: Study says people aren't downloading flight and hotel apps

Impact on business: Restaurants struggle amid fears of coronavirus outbreak

Shopper exchanges credit card with clerk.(Photo: RossHelen / Getty Images)

Viruses, in general, tend to survive longer on hard surfaces like credit cards and coins than they do on porous surfaces like fabric and dollar bills,Whittier added.

Still, Chinesebanks have started essentially washing money to destroy potentially infected cash before it's handed back out.

"Cash received by banks must be sterilized before being released to customers," the Chinese government's website recently announced. The nation is using ultraviolet light and heat to kill any bacteria on the surface of currency.

While it's certainly not necessary at this point,making digital paymentsand transfers could be a viable solution for people shaken bythemere threat of infected cash.

"Anytime you decrease coming in contact with contaminated surfaces, youre decreasing your risk of coming in contact with viruses," Whittier said.

There's been a surge of investment in cryptocurrencies like Bitcoin since news of novel coronavirus hit the airwaves, which may or may not be pure coincidence.

(Photo: Getty Images)

Bitcoin, a market leader,saw a record month in January, breaking $100,000 a day in China alone, the company's CEO Stefan Rust told USA TODAY. Thedecentralized digital currency saw "a greater surge beyond that" globally in February.Bitcoin is currently trading $10,152 per share.

Second to Bitcoin in the mobile payments spaceisEthereum, which sawshares gradually rise in mid-January, though shares are pricedmuch lower at $278.The digital currency platformRipple (XRP) saw shares jumped around the same time.

China, which seems to beground zero for coronavirus cases,is a digitally savvy nation that's light-years ahead of the U.S. when it comes to doing away with paper money.

But the potential economic downturn as factories shutter, workers stay home and tourism haltscould drive investorsto flee risky stocks and park their cash in other places.

"People are looking for a safe haven and cryptocurrency might be that safe haven," Rust said.

Someone also took to Reddit this week to announced a new strain of cryptocurrency dubbed "Coronacoin," which claims to be backed by the spread of the deadly respiratory illness. A portion of the funds generated will be donated to Red Cross,according to coronatoken.org.

For now, Coronacoin is virtually worthless, trading at less than half a cent, according to the bitcoin tracking site CoinGecko.

Follow Dalvin Brown on Twitter: @Dalvin_Brown.

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Can the coronavirus spread through cash exchanges or live on credit cards? - USA TODAY

The Dutch Government is sharing intelligence data, including that gathered during last years takedown of a Bitcoin mixing service, with four other countries. The Netherlands, US, UK, Canada and Australia formed the Joint Chiefs of Global TaxEnforcement, or J5 group, in 2018.

The five countries also take part in events known as the challenge, to coordinate their investigations of tax-related crime.

Bestmixer.io was a bitcoin mixing service based in The Netherlands, which offered to further anonymize bitcoin transfers by mixing tokens with those from other sources.

The Dutch Fiscal Information and Investigation Service (FIOD) started to probe the service following suspicions about its operations and genesis. Although bitcoin mixing platforms do have a legitimate use for increasing anonymity, they can also be utilized by criminals for money laundering.

As Bitcoinist reported, in a joint operation with Europol back in May 2019, FIOD closed down Bestmixer and seized its assets.

At a J5 event in Sydney this week, FIOD chief, Hans van der Vlist, explained that all of the intelligence gathered during the Bestmixer investigation had been shared with the other member states.

We provided all the information that came out of the Bestmixer investigation. We shared it with other countries, and we used it in the J5 challenge.

The Bestmixer sting caused a a severe blow to the concealment of crypto money flows, according to van der Vlist. And the intel gained is still producing results.

Just this Monday, FIOD arrested two individuals suspected of money laundering using cryptocurrency. One of the cases is directly related to information gathered during the Bestmixer operation.

This weeks J5 group meeting follows the issuing of subpoenas and warrants by its members last month, as part of a joint investigation into a Central American financial institution. The US Internal Revenue Service (IRS) described this as the first major operational activity by the J5.

However, Australian Tax Office Deputy Commissioner, Will Day, stressed that the J5 is looking beyond just a single financial institution in Central America.

The cooperation between countries also helps individual member states to investigate domestic cases of tax evasion, through the use of offshore accounts. Day stated that most of the focus was on prosecuting the professional enablers of such schemes, and that individuals concerned that that had been caught up in such arrangement should come forward and work with the authorities.

Come forward early, because with the J5 collaboration, its only a matter of time until we find you.

The US alternative hip-hop group, Jurassic 5, also known as J5, could not be reached for comment.

What do you make of the J5 nations probing into crypto mixing services? Add your thoughts below!

Images via Shutterstock

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Netherlands Shares Bitcoin Mixer Probe Report With J5 Nations - Bitcoinist

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A recent debate in the Cryptoverse has brought forward yet again a number of vital questions concerning the very basis of Bitcoin (BTC) - and crypto in general: how safe is BTC from censorship, control, and surveillance?

The participant in this debate are Kevin Sekniqi, Co-founder and Chief Protocol Architect at blockchain startup AVA Labs, former software engineer at Microsoft on the one side, and on the other, Alex Gladstein, Chief Strategy Officer at Human Rights Foundation (HRF), Vice President of Strategy for the Oslo Freedom Forum, and an advisor to venture capital company Blockchain Capital.

The entire discussion started with Gladstein's take on the benefits of Bitcoin, an asset like none before, as he said, tweeting out a list on February 18:

Not everybody agreed with all the points on this list, with commenters pointing out instances of censorship, interference and surveillance by government agencies, centralization of mining resources, etc.

One of the people disagreeing is Sekniqi, who promptly launched a series of "attacks" on what he calls "an unfortunate series of Bitcoin narratives." He adds: "Bitcoin is a technological breakthrough, but it does not live outside our universe and is therefore breakable." He made the arguments that Bitcoin can be effectively shut down:

And there we have it - the two camps of opinion with commenters falling in one, or the other, and everywhere in between, taking the argument into the next day. People quickly started taking sides, and soon both Sekniqi's and Gladstein's honesty was put into question and conflicts of interest raised. The latter argues that the former is "pushing a shitcoin competitor" to Bitcoin, given that AVA labs is behind Athereum, an experimental Ethereum testnet, with a native token ATH, and claims that Sekniqi's project can't compare to BTC. However, Tim Swanson, head of market intelligence at blockchain builder Clearmatics, joined the discussion to point out Gladstein's "hypocrisy" as he too is promoting a coin.

Gladstein responded today with a promised series of videos, to defend his position, counter Sekniqi's arguments, and invite a conversation on these issues. He too finds that the other side is promoting false narratives not based in the real world, and concludes that:

This was the last episode so far in this series of discussions, but the debate in general, permeating the Cryptoverse, will certainly continue, giving its complex nature.

Which side are you on? What important details Sekniqi and Gladstein missed in their arguments? Let us know in the comments section below.___Learn more: What Could Kill Bitcoin and How Possible it isHey, Govt Officials! Do You Still Think You Can Ban Bitcoin?Bitcoin Perhaps More Dependent on Governments than Many Think7 Biggest Misconceptions About Bitcoin, Picked by 6 Crypto ExpertsBitcoin Price Might Hit USD 1M Sooner Than a Quantum Computer Attacks

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Can Bitcoin Really be Censored, Controlled, and Mass Surveilled? - Cryptonews