Good day Hiveians!
Join me in analyzing the crypto markets!
My last few posts about the crypto market have all been rather cautious
Ever since the world has been drifting more into crisis, the markets have become very unstable. Nobody of course knows what will happen, and this uncertainty is reflected in almost everything, cryptos included. Although I have been arguing that on a fundamental basis there isn't actually any real hard reason for the crypto market to be upset by this. Of course, as we saw e.g. in Kazakhstan there can be wide spread power failures which principally puts the blockchain network at risk or countries like China or Russia trying to ban Bitcoin. But the point is that this is a global system. As such there are numerous fail safes as there are over 200 countries on this planet which can act as support by having less regulation or more stable energy infrastructures. The legacy market has much less of these fail safes and now, perhaps for the first time, we are witnessing real shortages and problems on a global scale which is directly affecting trade and markets. I would therefore think that cryptos will ultimately become more detached from it.
I remain bullish on this new technology. And even today's drop in the market which is speculated due to an incoming executive order isn't really worth the hype. I mean, the market is already quite regulated and it is a fallacy to assume that regulation is per se negative for an industry. Also, it is about "examining" the potential for regulation... Seems like this is a sell the rumor, buy the news sort of thing. I wouldn't be surprised if the market rallies on news about the actual regulation that was decided on.
https://twitter.com/disclosetv/status/1500918580065538053?s=20&t=rflSYG4MQk-t4N-PYRMQRA
- disclosetv
So now about Hive...
On the weekly chart Hive is looking good. Price is sitting on the dashed line which is the long term support from previous ATHs. There is also the resistance from the last few months which has so far halted further upward movement. There is a good possibility for price once again testing the thicker support now at around 70 cents. But there is also a real good chance that the current level will hold and that the resistance will be over come in which case there should be a massive rally to the second resistance.
The similarities of the subwaves are astonishing. Look at the two ovals; it is basically the same movement. Also note that once the resistance was broken we had a massive rally. We are exactly at the same spot once again.
The main difference to last time is that we are above the weekly supporting trend line. If Hive can use this trend line as a platform of support, prices will bounce off of it and we should reach $5-$10 soon. If Hive brakes through this support, the next stop will be 50 cents and lower.
As a general reminder: Please keep in mind that none of this is official investment advice! Crypto trading entails a great deal of risk; never spend money that you can't afford to lose!
Check out the Love The Clouds Community if you share the love for clouds!