Bitcoin SV Technical Analysis: February 11, 2020
February 10, 2020
All major cryptocurrencies have advanced in the last several days and the price of Bitcoin SV is also supported by this situation. Bitcoin Satoshi Vision (Bitcoin SV) is one of the newest cryptos in the cryptocurrency market, and up until recently has ridden the coattails of competitor Bitcoin Cash. Bitcoin SV emerged from a split in the blockchain of Bitcoin Cash, as BSV developers wanted to restore the original Bitcoin protocol rather than continue under the Bitcoin Cash blockchain. The major difference between Bitcoin, Bitcoin Cash, and Bitcoin SV is block size limits. Bitcoin Cash increased the block size limit to 32 MB, and Bitcoin SV quadrupled that limit to 128 MB. Bitcoin SV is intended to provide a clear choice for miners because this cryptocurrency restores the original Bitcoin protocol and keeps it stable. It is very hard to explain the actual value of Bitcoin SV and because of that, I would recommend to everybody to be careful with investing in Bitcoin SV. The future of Bitcoin SV remains unclear and this cryptocurrency faces several challenges and uncertainties moving forward. Many skeptics believe that it will not be able to replace Bitcoin as the leader in the cryptocurrency market, and therefore it may not survive in the long term. Bitcoin SV isn’t the only privacy coin competing for market share and some other cryptocurrencies could potentially limit the adoption of BSV. In the chart below (a period from April 2019), I have marked major resistance and support levels which can help us to understand where the price could move. The current resistance levels are $400 and $450, $300 and $250 represent the strong support levels.
The price Bitcoin SV has advanced from $260 above $370 in less than several days and the current price stands around $340. If the price drops below $300 strong support that would be a strong “SELL” signal and the open way to $250. On the other side, if the price advances above $400 resistance level that would be a strong “BUY” signal. In the chart below we can see how did the price of Bitcoin SV performs in the last 30 days. On this chart, I have marked a “trendline” and if the price drops below this trendline that will be a “SELL” signal.
Recommendation: Bitcoin SV has rapidly become one of the most valuable cryptocurrencies in the world and it is also important to mention that Bitcoin SV allows more transactions to be processed because of the increased block size. I can agree that this is a risky coin, its future is still not sure and it is really hard to measure the current potential of this cryptocurrency. The crypto market goes through bullish and bearish phases that hugely influence the price of Bitcoin SV. Bitcoin SV has a short-term resistance area at $350 and it would take a break above this level to confirm a new leg higher towards the $400 resistance level. If the price jumps above $400 that could be a very good opportunity for the short term traders, short-term traders can put the stop-loss at $380 and take profit at $440 or above. If the price drops below $250 strong support that would be a strong “SELL” signal and the open way to $200.