Bitcoin Price Prediction April 7th
Bitcoin Price Prediction April 7th. Bitcoin bounced off highs of $425 and is in a 4 hour downtrend a fairly weak one, testing support at $420. Bitcoin should trade in a narrow range between $405 and $425 over the next few days. so I expect a pullback from $425 at this point. Until Bitcoin breaks $430 or $400 we will be stuck in this range as Ethereum and Bitcoin are extremely correlated in price movement, both looking for new capital to push prices higher. Bitcoin tends to trade lower when the the S&P moves lower which I expect in the coming weeks. Not sure why there is a correlation between the 2 but comparing Bitcoin and the S&P we see down movements in both in August and January. I expect a pullback from $425 at this point. Taking a look at the chart below we see Stochastic RSI is at 24 and fattening it should touch the lower range then another uptrend will form. The CCI is at 25 and trending up although it is fairly weak.
Negative views VC investments in Bitcoin peaked a long time ago. That article is a few months old now but Q4 2015 was even lower than Q3, and Q1 2016 is lower than Q4 2015 – Investors have already “got it” and that’s why money is going to blockchain startups that aren’t Bitcoin.
What makes Bitcoin more valuable. Something that creates new demand. OB is neither, nor is 21 or the halving. Unfortunately there’s really nothing on the horizon – LN is simply a (convoluted) system to scale for current users, but not a reason to buy in or use Bitcoins.
By the way, I’m still laughing at your assertion that Ebay not listing this non-event as a threat to their business is “criminally withholding relevant information”. OB is as much a threat to their business as your local lemonade stand. Oh look, a new posting for used chewing gum and a $150 Bitcoin magazine! Whatever will Ebay do?!
The graphs below are amazing.
They show a tight correlation between Bitcoin’s market capitalization and the square of the number of transactions (ie, the actual blocksize) – all the way through Bitcoin’s 1,000,000% growth in market cap from 2011 to 2014:
Bitcoin’s “Metcalfe’s Law” relationship between market cap and the square of the number of transactions
Bitcoin vs Metcalfe’s Law
But then, in late 2014, this law started to get broken.
The market cap started to drop slightly below the expected level, as seen here:
November 2014 was also when Blockstream was founded, and they started telling us we couldn’t increase the blocksize:
So Blockstream, by trying to impose an artificial blocksize limit, also appears to be artificially limiting Bitcoin’s market capitalization.
If you’re a miner or an investor, this is probably the most important reason to increase the “maximum blocksize”: so you can make more money.
And, as a side effect of increased price and adoption, more people will want / need to run full nodes – increasing Bitcoin’s decentralization.