The International Monetary Fund (IMF) published a new forecast Tuesday predicting that the coronavirus-induced global economic slowdown will get much worse from here before getting any better.
Given Bitcoin’s record correlation with traditional markets, the IMF forecast has now cast serious doubt over the much-anticipated post-halving Bitcoin bull run. Judging by past trends, the only way for the benchmark cryptocurrency to steer clear of danger is to break away from traditional markets and move in-step with gold.
Perhaps, only then will Bitcoin be able to live by the more bullish forecasts that call for reaching all-time-highs in September 2020.
Meanwhile, in other important cryptocurrency news from Tuesday:
Bitcoin Halving Searches on Google Are at an All-Time High
New data from Google shows that search volume involving the keyword ‘Bitcoin halving’ is at an all-time high, indicating that retail interest in the milestone event is soaring. However, this steady rise in search volume is yet to reflect in any tangible outcome in terms of the BTC price or trading volume.
On a related note, Bitcoin’s RSI is at its lowest point at this crucial juncture as compared to any other halving in its decade-long history.
Bitcoin Futures Open Interest Rebounds
Following the March 12 market bloodbath that saw Bitcoin shedding nearly 50% in just 24 hours, there are finally signs of an uptick in the investor confidence index. This is reflected in the ongoing growth in Bitcoin futures interest.
Led by BitMEX and OKEx futures markets, Bitcoin futures open interest has been steadily moving upward since the end of March. It is, however, yet to reach the same levels as seen in January 2020.
Ethereum and TRON Showing Potential for Gains in Q2
The prices of both Ethereum (ETH) and TRON (TRX) have seen healthy growth since April 6, gaining 10% and 6% respectively versus Bitcoin. This is leading some analysts to believe that both these altcoins are preparing the ground for huge gains in the second quarter.
ETH, in particular, has reclaimed a very significant area as support at ₿0.0225. This area acted as a zone of resistance between August 2018-February 2020. After breaking out, the price reached a high of ₿0.0284 before beginning the still ongoing downward move.
Meanwhile, TRX is likely to continue on an upward trajectory so long as the price stays above 175 satoshis.
Chiliz and Basic Attention Token Primed for Take-Off
The Bitcoin dominance rate has been decreasing steadily since March 25. This has caused numerous altcoins to increase considerably when looking at their BTC pairs. Chiliz (CHZ) and Basic Attention Token (BAT) are two such altcoins that are currently showing some serious potential for growth.
CHZ has been following an ascending support line since September 2019. It has created a double-bottom pattern at 90 satoshis. BAT, meanwhile, has reclaimed an important support level with the price trading inside an ascending triangle.
Bitcoin Analysis for April 14
The Bitcoin price failed to break down below $6,750 and reclaimed this area as support afterward. It is expected to increase until around $7,050 before beginning a downward move.
- The Bitcoin price is trading at the resistance line of a range between $6,900-$5,700.
- The price is following a short-term descending resistance line at $7,050.
- A rejection could cause the price to sink back to the support levels around $6,300.