Visa Teams up With Circle to Let Card Issuers Integrate USDC – Price Analysis, 7 Dec 2020
Last week the price of Bitcoin was stubbornly consolidating near the level of $19,000 per one digital coin. There were also a couple of attempts to reach the long-awaited psychological level of $20,000; however, all of them turned out to be unsuccessful. Therefore, the recent Bitcoin rally has been put on pause.
Glassnode, one of the most famous blockchain data and intelligence providers, tried to explain the reasons behind the pause of the Bitcoin rally. In one of their recent tweets, they showed that Bitcoin miners had increased the amount of cryptocurrency sent to crypto exchanges to be sold:
Nevertheless, the crypto community remains bullish on Bitcoin. For example, Hashcash inventor Adam Back compared the current price consolidation with a short warming-up before the upcoming rally to $100,000.
Moreover, the crypto market fundamentals are getting more and more positive. Last week, credit card giant Visa announced it was teaming up with blockchain services company Circle. As Forbes reported, the partnership aims at helping “select Visa credit card issuers start integrating the USDC software into their platforms” so that they can send and receive respective payments in the stablecoin. Now, the crypto community expects more than ever that Visa will also integrate Bitcoin very soon.
On early Monday, the crypto market continues to consolidate. At the time of writing, according to Coin360.com, one Bitcoin costs €15,771.40 (+0.36%), one Ethereum – €490.75 (-0.17%), and one LINK – €10.91 (+1.10%):
Source: Coin360.com (Daily crypto market performance)
Now let's have a look at the charts of the leading cryptocurrencies against the euro.
In the 1-hour chart (1H), BTC/EUR has been recently consolidating in a Symmetrical Triangle chart formation:
According to the Technical Analysis theory, in uptrends, a Symmetrical Triangle usually occurs after a significant price increase and indicates a period of consolidation. However, it is a trend continuation pattern. Moreover, the triangle is in the Broadening Rising Wedge, which we mentioned in our previous analysis. That's why we expect the price of Bitcoin to resume the uptrend once it exits the triangle.
In the weekly chart, last week, ETH/EUR formed a bullish candlestick, which has a local low above the local low of the Long-Legged Doji and was also able to renew the local high of the Doji – a signal that the market is still under the control of the bulls:
Also, in the 1-hour chart, ETH/EUR has formed a Bullish Flag – a trend continuation pattern:
As can be seen from the chart, at the moment, ETH/EUR is testing the upper line (resistance) of the flag.
We think if a breakout takes place, it will create a favorable opportunity for opening long positions.
As we pointed out in our previous analysis, in the daily chart (1D), LINK/EUR has been fluctuating in an Ascending channel (uptrend) for quite some time.
However, as can be seen in the chart, recently, the price chart of LINK has been consolidating at the 30-day Moving Average (30 MA).
We still think that the LINK/EUR will very soon resume the upward movement. That's why it is worth keeping an eye on the 1-hour chart, where the price is trying to break through the temporary resistance:
In case LINK/EUR overcomes the resistance, then the traders will start to enter the market by opening long trades.
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