• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
  • Skip to footer
  • About us
  • Write for us
  • Terms and Conditions
  • Privacy Policy
  • Disclaimer
  • Contact
  • All Posts
  • Advertise

TronWeekly

Crypto World News

  • Home
  • Education
    • Best TRON Wallets
    • Beginner’s guide to TRON
  • Opinion
    • Tron Tokens
    • Market Analysis
  • Industry
    • Tron Exchange
    • Project Review
  • Press Release
  • Advertise
  • About us
    • The Team
    • Editorial Policy
    • Write for us
    • Privacy Policy
    • Disclaimer
    • Terms and Conditions
    • Contact
You are here: Home / News / Bitcoin Longs vs Bitcoin Shorts? Breaking Down the Confusion in the Current Market
Bitcoin Longs vs Bitcoin Shorts? Breaking Down the Confusion in the Current Market

Bitcoin Longs vs Bitcoin Shorts? Breaking Down the Confusion in the Current Market

April 15, 2020 by Utkarsh Gupta

Since 10th April, Bitcoin has been above the $7000 range twice, and on both the occasions, corrections pulled it back under the range, its most recent pullback was on 13th April 22:00 UTC.

Such price movement between $6500 and $7000 has been confusing for the investors and a majority of traders were in crosshairs between longing or shorting Bitcoin over the long-term. In order to understand which option incurs more profit in the long-term, it is imperative to analyze the factors that go before taking a particular investment route.

Why investors may Short Bitcoin

BTC t

In order to understand this option, it is important to observe the 4-hour Bitcoin chart. As mentioned above, Bitcoin has retested the $7000 resistance 4 times in the last 3 weeks. Bitcoin was not able to set itself completely apart from the resistance of $6600, $6800, and $7000, which indicated that the bearish pressure had kept the bullish pressure at bay in the last few weeks.

Currently, Bitcoin is consolidating near the $7000 range at $6856 and it is possible that it will move above the $7000 mark again. However, if Bitcoin falls below the range of $7k again, it will most likely completely exhaust the buying pressure and a significantly higher pullback could surface.

Considering the 50-Moving Average is also acting as an active resistance at the time of writing, Bitcoin may face a lot of resilience at $7000 and $7400, to sustain a rally towards $8000.

Another crucial reason why investors may short Bitcoin over the long-term would be in concern with the current financial meltdown. The world economy continues to be on the brink of collapse and another free fall in the traditional market may trigger another sell-off period in the digital asset industry as well.

Why Investors may Long Bitcoin

Now, when it comes to longing Bitcoin, it would all come down to whether investors believe Bitcoin has attained its bottom in the previous depreciation or not. On the previous chart, a legitimate argument was made for the overhead resistance at $7000.

In similar fashion, a strong case can also be made for the bottom at $6500. Over the past six months, Bitcoin has not dived below the $6500 mark until its recent market decline on 13th March. The largest digital asset has also been persistent aftermath of the collapse and registered a 90%+ percent hike over the past month.

$6500 could be a strong bottom because according to many analysts, Bitcoin may have capitulated at the time of press.

Popular Bitcoin commentator Tone Vays believed that, even though Bitcoin has been strongly correlated with stocks, it is correlated only in certain stretches which allows Bitcoin to break away in the current scenario.

He added that he foresees another lower low for the stock markets in the coming months but does not see Bitcoin following the same path again.

Conclusion 

At press time, Bitcoin kept inching closer to $7000 again which indicated that the price was still indecisive. However, with the halving event quickly approaching, it is a calculative guess that another major price swing is possible in the charts.

Filed Under: News, Bitcoin News Tagged With: Bitcoin (BTC), Bitcoin Longs, Bitcoin Shorts, btc

Primary Sidebar

Recent Posts

  • Floki Takes A Big Leap: Listed On Crypto.com  March 21, 2023
  • Rising As A Crypto Haven: Hong Kong Attracts 80+ Firms Set To Establish Presence In March 21, 2023
  • Ethereum Primed For $2K As Price Reaches 7-Month High: Report March 21, 2023
  • Solana’s Unique Smart Contracts Rise Despite Network Woes March 21, 2023
  • Osmosis Foundation Joins Bitcoin Revolution: Converts 10% of Treasury Cash to Native BTC March 21, 2023

Footer

News

  • Altcoin News
  • Bitcoin News
  • Blockchain
  • Tron News
  • World

Digest

  • Meet the Founder
  • Price Winning Article
  • DeFi
  • Cyber Security
  • Crypto Scam

Industry

  • Project Review
  • Technology
  • Fintech
  • Tron Exchange
  • New in Town

Tron Universe

  • Event and Tron Parties
  • New in Town
  • Tron Tokens

Follow Us

Subscribe US

Copyright © 2023 · Tron Weekly. All Rights Reserved. NOTE: Tron Weekly is an independent crypto news site that adheres to the strict journalism policy anchored on transparency, trust, and objectivity, we have no affiliation with the TRON Foundation, its founder Justin Sun or any other cryptocurrency firm.