In brief:
- With the first half of 2020 almost coming to an end, Bitcoin looks set to close of Q2 of 2020 on a high note.
- BTC is once again above the crucial $9,300 support zone as bulls attempt to take control of the price.
- One scenario could see Bitcoin attempt to break and hold $10,000 once again.
- However, there is still the likelihood of BTC entering into bear territory in Q3 of 2020.
The month of June has approximately two weeks left and its close will usher in the third quarter of 2020 as well as the second half of this year. The second quarter of 2020 started off with Bitcoin being valued at $6,300 on April 1st. This was approximately two weeks after the Coronavirus crash of mid-March.
Bitcoin (BTC) is Still on Track to a Profitable Q2 2020
At the time of writing this, Bitcoin is hovering around the $9,500 price area after a quick dip to $8,900 around the weekly close on Sunday. Comparing the current value with that of the first day of Q2, it can be concluded that Bitcoin is still ahead in gains by approximately 50.7%.
In an earlier tweet, the team at Skew.com had done a similar analysis and concluded that Bitcoin will have a strong close to Q2 in 2020.
With two weeks left to go, it looks like #bitcoin will have once again a strong Q2 pic.twitter.com/9YvcpY9nY7
— skew (@skewdotcom) June 16, 2020
What Lies Ahead in Q3 for Bitcoin?
Doing a brief analysis of the Q3 column in the tweet by Skew.com, it can be observed that four out of the last six third quarters have been profitable for Bitcoin. This loosely translates to a 66% chance that the third quarter of 2020 will be a rough one for Bitcoin in the form of a correction after halving.
This theory further echos a previous analysis of Bitcoin that had seen the potential of BTC dipping to as low as $8,000 or even $7,000.
A Brief Technical Analysis of Bitcoin
Checking the daily BTC/USDT chart once again, the following can be concluded.
- Bitcoin’s support at $8,900 saved the day after $9,300 caved in on Monday morning.
- The 50-day moving average is still providing adequate support for Bitcoin.
- Other short-term support zones are at $$9,380, $9,250, $9,150 and $9,050.
- Trade volume is in the green with the MACD possibly gearing up for a bullish cross above the baseline increasing the chances of a possible push higher by Bitcoin.
- MFI is in a neutral territory around 44 indicating that it could go either way of Bitcoin.
Conclusion
In summary, Q2 of 2020 has approximately two weeks left and all signs indicate that Bitcoin will close off the first half of the year on a positive note. A brief technical analysis reveals that Bitcoin could either be gearing up for another push towards $10,000 with the momentum gained by its recent bounce at $8,900.
However, there is also a 50% chance that Bitcoin could be entering bear territory in the days ahead. Therefore, Bitcoin is in a no-trade zone for swing traders. On the other hand, scalpers can benefit from the current price movement of BTC.
As with all technical analyses of Bitcoin, traders and investors are advised to implement risk management techniques as well as stop losses to protect trading capital.
Disclaimer: This article is not meant to give financial advice. Any additional opinion herein is purely the author’s and does not represent the opinion of EWN or any of its other writers. Please carry out your own research before investing in any of the numerous cryptocurrencies available. Thank you.
