Crypto Chartbook: Bitcoins’ Actual Value

Bitcoin allows getting easily confused. How does it work? What is it worth? Why all the hype? Curiosity aches to get satisfied, but again, there is always a debate if you read up in the news. El Salvador recently allowing it next to the US-Dollar as a legal tender created two camps again. Bitcoin fans see a major breakthrough in a country legalizing the tender. Opponents find a country like El Salvador not credible enough. Whom to trust? You need to ask yourself only one question: “Why would there be so much emotional investment for over ten years already into something worth nothing?” Bitcoins’ actual value.

No hype lasts that long. What can stay this long is doubt, if not fear, about something new. Change is certainly something many are afraid about. You can touch Gold, build real estate, see land, and it all has history, but that history also includes in all tangible asset classes there to be times when it got taxed or seized.

What we are facing now could be a larger cycle that one might intellectually grasp, but who does believe that we see times of hyperinflation and the dollar rendering worthless. Very few. Hope is a natural tendency of the human spirit to be trusted in at times of adversity.

In our opinion, that is the only reason why Bitcoin is still so cheap. And herein lies the opportunity for each individual to still preserve their wealth and or create it.

BTC-USD, Daily Chart, Worthwhile a shot:

(Click on image to enlarge)

Bitcoin in US-Dollar, daily chart as of June 14th, 2021

Bitcoin in US-Dollar, daily chart as of June 14th, 2021

Consequently, to our conviction that Bitcoin can not be thought away anymore, we took three low-risk entries after Bitcoins’ recent decline into the congestion range. We posted these entries in real-time  in our free Telegram channel. We took partial profits on all three trades to eliminate risk and by now have raised the stops to break even entry levels for the remainder of exposed capital.

After news that Tanzania might join El Salvador in accepting Bitcoin as one of the main payment method methods, prices soared to break through the upper triangle resistance line. What was resistance has now become support. The most substantial supply zone to price is near the POC (point of control, most transaction volume at this price level).

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Disclaimer: All published information represents the opinion and analysis of Mr Florian Grummes & his partners, based on data available to him, at the time of writing. Mr. Grummes’s ...

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