On Mar 11, 2019, 990 billion BitTorrent Tokens (BTT) were airdropped. Anyone who owned BTT prior to this date received free tokens. These airdrops are scheduled to continue on the 11th of every month until Feb 11, 2025.
Prices skyrocketed early on Mar 11. Drops in price followed throughout the rest of the day and into Mar 12—when they reached lower lows than before the spike.
At the time of writing, the price has begun rising, and a reversal is expected. Price should stabilize at a level higher than that before the price spike on Mar 11; however, the highs experienced on Mar 11 may not be revisited again until next month’s airdrop.
For a more detailed analysis designed for day traders and investors, look no further. Just scroll down and keep reading.
Key Highlights For March 12, 2019
- The price of BTT has been on a gradual upward trend since Mar 9.
- Price broke out from the previous resistance line on Mar 11.
- BTT is following a slowly ascending support line.
- The MACD and SMAs have triggered a buy signal, indicating a new uptrend.
- There are resistance areas near $0.00084, $0.0009, 0.00103.
- There is support near $0.00075.
The price of BitTorrent (BTT) on Binance is analyzed at 30-minute intervals from Mar 9 to Mar 12.
The price reached a low of $0.000712 on Mar 9. Several completed market cycles have occurred since. As prices dipped, each low was higher than the preceding low. Tracing these lows gives us the ascending support line.
The support line can act as a floor to price. It predicts the lower limits of price over a period of time. It also predicts the general trend and projected rate of growth for an asset.
The price of BTT has increased at the rate predicted by the ascending support line. It is likely that the price of BTT will continue increasing at a steady rate as predicted by the support.
The price of BTT on Binance is analyzed at 30-minute intervals from Mar 3 to Mar 12.
The price reached a high of $0.000833 on Mar 3. It has made successive lower highs since. Tracing these highs gives us a descending resistance line.
The resistance line can effectively act as a ceiling to price in the same way support acts as a floor. A breakout above resistance can signify forthcoming rapid price spikes.
On Mar 11, BTT broke out from the resistance when it reached a high of $0.000869. We successfully predicted this breakout in our March 6 analysis of BTT.
The breakout combined with the current upward trend seen between Mar 9 and 12 suggests that continued price increases may continue for the near future.
The moving average convergence divergence (MACD) is a trend indicator that shows the relationship between two moving averages (long and short-term) and the price. It is used to measure the strength of a move.
Combined with simple moving averages (SMA), MACD can be used as a trigger for buy and sell signals. Signals are triggered whenever the MACD line is above 0 and the price is above the 21 (red) and 50-period (green) SMAs.
On Mar 12, the price validated the support line. Afterward, it started an upward move which took it above the 21 and 50-period SMAs. During the same time, the MACD line crossed above 0.
This triggered a buy signal—indicating that the previous downtrend may be over. This further confirms the projected continued price increases into the near future. However, projected upward this movement would be invalidated by a price movement below the SMAs and the MACD line crossing below 0.
Using these indicators, it is likely that the price gradually increases and does not break down from the support line.
In order to better visualize the possible reversal areas in case a breakout/breakdown occurs, the price of BTT on Binance is analyzed at two-hour intervals from Feb 18 to Mar 12.
The closest support area is found near $0.00075. A breakdown below this level could trigger a rapid price decrease to extremely low levels. Based on our analysis, this is not likely.
The closest resistance areas are $0.00084, $0.0009, and $0.00103. If a breakout occurs, these would provide likely reversal areas. We believe that price may rise toward these highs.
Summary of Analysis
Based on this analysis, it is likely that the price revisits the $0.00086 level again and possibly breaks out for the second resistance area near $0.0009. If the price reaches the first resistance area, such a prediction may be partially validated. If the price reaches or exceeds $0.0009, this prediction will be fully validated.
How do you think the monthly BitTorrent airdrops will affect the price of BTT in the future? Let us know your thoughts in the comments below.
Disclaimer: This article is not trading advice and should not be construed as such. Always consult a trained financial professional before investing in cryptocurrencies, as the market is particularly volatile.