Bitcoin (BTC) kicks off a new week of rising stocks and falling US dollars – again trading above $ 16,000. What’s next in the pricing campaign?

Cointelegraph is looking at factors that could affect how Bitcoin moves in the next few days.

Stocks Approaching Peak Load and USD Falls
The overall environment this week is somewhat different from the previous one – stocks are rising as a result of a major Asian trade deal, while the US dollar is losing ground.

According to the latest data released on November 16, the US dollar index (DXY) fell last week, reaching 92.58 from a post-election high of 93.2. Traditionally, Bitcoin has moved in the opposite direction from the DXY, and although this relationship has become less clear lately, strong moves in both directions are still affecting BTC / USD.

Meanwhile, Asian equities were in the lead on Monday, when 15 countries signed the long-awaited Regional Comprehensive Economic Partnership (RCEP), which will cut trade tariffs between them by 92%.

The sentiment has spread to European and US futures as markets are now on the right track to hit record levels across the board. The situation is strangely known – after the crash and subsequent recovery earlier this year, markets are booming again, despite tightening the cycle of restrictions on coronavirus around the world.

As Cointelegraph mentioned earlier, artificial intervention by central banks remains an important reason for doubt about the true health of stocks.

Analyzing the status quo, macro investor Dan Tabiro argued that continued economic policies will continue to help safe havens, including Bitcoin.

Expect more central banks to inject liquidity. In the short term, economic activity will decline again with caution. ”

“There are no views on coronavirus, only how people react to it. Mkts will be well supported as #GOLD and #Bitcoin continue to benefit. ”
Bitcoin is in third place at the close of the week
The weekend’s Bitcoin price action kicked off the third best week on record after a weekly close above the $ 15,890 base zone.

On the weekly chart, this means bitcoin has moved from last week to its third highest weekly close on Sunday.

The weekly close was only an advance, but analysts continue to debate whether the market will try to overvalue them.

“The market as a whole is at a crossroads,” said Michael Van de Pope, an analyst at Cointelegraph Markets, late Sunday when BTC / USD was hovering around $ 15,850.

“A break below $ 15,500 and I expect we will see a correction in all markets with the potential for BTC to hit $ 13,000 or less.”
Earlier, trader Ton Weiss said they would be looking to the top of around $ 17,000 or $ 18,000.

“I don’t think the current pressure will ever take us to new heights,” he predicted in a video analysis earlier this week.

“I think the summit will take place sometime at the end of November or in the second half of November. It can continue until early December. ”
Institutions don’t sell
In this case, $ 16,000 was returned with a publication period of $ 16,250 before Wall Street opened.

There are clearly a lot of institutional investors outside of segmentation, and according to statistician Willie Wu, capital inflows show this.

“Setting up weekend trading: ditching some bearish technical indicators (4 hours RSI div, 8 hours TD9),” he told his Twitter followers on Saturday.

“The fundamentals in the short to medium term in the chain are bullish, with more currencies being withdrawn from stock exchanges and more users.
Wu cited a decline in the number of coins held in swap orders, a phenomenon that has marked recent increases in prices from $ 11,000 and up. Instead of speculating, investors store coins elsewhere, indicating a desire to keep them for a long time.

Basics rise
Signs of an upward shift are already permeating the mainstream Bitcoin networks, despite warnings of rising prices.

The monitoring source estimated on Monday that difficulties with mining bitcoins will grow by about 4% in the coming hours. The last automatic difficulty adjustment was tentatively estimated to have decreased by about 6%, but the trend changed later.

Increased competition among miners followed a sharp drop in difficulty two weeks ago, which is 16% the biggest drop for bitcoin since 2011.

While miniaturizing, analysts have carefully noted that complexity is the most important technical characteristic of Bitcoin. There have been long-term timing adjustments coupled with collective subsidy cuts every four years.

Source: CoinTelegraph