Bitcoin and Altcoin Price Analysis: July 8, 2016
Bitcoin (BTC)
On July 7 2016, Bitcoin’s price fell sharply to the level of $611, but regained its position on July 8 by returning to the level of $640.
Tomorrow is the big day, when the reward for Bitcoin block mining will be halved. This may cause a sharp fluctuation in the price of BTC which could cause the price to drop as low as $580 and $560.
CoinIdol asked cryptocurrency experts how they think the decrease in the block reward may affect the price of Bitcoin. Here are their answers:
Michael Patryn, co-founder of Quadriga, and Founder of Fintech Ventures Group, who is also an active trader and market maker for numerous exchanges:
“I believe that most of the speculation surrounding the price effects with regard to the halving have already have been priced in.”
Vishal Gupta, Founder of Bitcoin Alliance India, CEO at SearchTrade, and Director at Moving Trumpet:
"My gut says it will rise a bit to 800, suck in all the cash, than crash back to 550/600 levels.”
Today the support level for BTC is $600, while the resistance level is $650. A breakthrough of the resistance level can open the way for USD/BTC rates up to $700 and $750. So, we are looking forward to tomorrow.
USD/BTC exchange rates dynamics in last 7 days:
Ethereum (ETH)
The exchange rates of the USD/ETH pair continue to decline. Cryptocurrency markets show the pessimism of ETH investors who prefer to sell risky assets in global markets.
As we expected, the ETH price overcame the level of $10.00, and moved to the level of $9.73 on July 7.
Tomorrow’s change of the reward for Bitcoin block mining can also affect the price of ETH.
Today the support level for ETH is $9.50. $11.00 is the resistance level.
USD/ETH exchange rates in last 7 days:
Litecoin (LTC)
For today, investors consider LTC a safe asset. However, we expect a downtrend to continue, as tomorrow can seriously affect the Litecoin price.
Today the support level for LTC is $3.90. Level of resistance $4.30.
USD/LTC exchange rates in last 7 days:
Dogecoin (DOGE)
The USD/DOGE pair shows its solidarity with other cryptocurrencies and goes down too. As we expected, the price dropped to around $0.00026555. Some uncertainty associated with a decrease in tomorrow's reward for a block is holding DOGE under pressure. A corridor between $0.00026 and $0.003 remains for the DOGE price.
USD/DOGE exchange rates in last 7 days:
Tomorrow will finally be able to answer many questions that we had for a long time now. What will miners prefer? Will they sell all their obtained Bitcoin to offset production costs? Is there any special plan for Bitcoin price changes considering tomorrow’s Bitcoin block reward halving? Will the price reduce or increase? Tomorrow we'll see.