In this analysis, we examine the price fluctuations of Alphabet Inc (GOOGL)
and Bitcoin between May 20 and 25. We will look at each asset individually and then compare the rate of growth side by side.
Alphabet Inc. is an American multinational conglomerate whose subsidiaries include Google, Calico, Waymo, Capital G, and several other companies.
Alphabet, Inc. In a Wedge
The price of Alphabet Inc (GOOGL)
reached a high of $1193.98 on May 16. After a gradual decrease, a low of $1139.16 was reached on May 20. Since then, the price has been bouncing between the resistance and support lines of a descending wedge:
Since the wedge formed, the resistance and support lines have both been validated twice.
At the time of writing, the price was trading at $1138.74 and appeared to be dropping toward the support line. If reached, it could be validated a third time adding to its legitimacy.
On May 16, the price of BTC
reached a high of $8352.3 and fell to validate a support line which had formed three days prior. After reaching the line on May 17, the price rebounded to the resistance line of the symmetrical triangle outlined below:
On May 20, BTC reached the resistance line. After a slight decline, it pushed back up and validated the resistance line several times between May 24 and 25. This appears to have generated a short-term double top. This is a bearish reversal pattern and could signify that the price of BTC will drop soon.
Summary: Bitcoin vs. Google
The price of Bitcoin (candlesticks) and the price of GOOGL (purple line ) is compared at one-hour intervals from May 20 to May 25 in the graph below. Since the market for GOOGL closes on the weekend, the last recorded price was that of May 25. The right-hand scale presents the percentage increase/decrease of the two assets during this period.
Bitcoin began the week with slight losses—reaching lows below 6% on May 20. A gradual increase was preceded by a decrease. A wick low on May 23 brought BTC’s total losses to slightly over 8%.
An upward move followed. For a period on May 24, BTC’s rate of change had become positive. However, a final drop caused BTC to drop by around 0.6% between May 20 and 25.
During this period, GOOGL mostly alternated between periods of gradual decrease and stagnation. The most significant downward moves occurred on May 20 and 23. The measuring period ended with a decrease of 2.53%.
In short, for the week of May 20-25, both Bitcoin and GOOGL dropped in price. Additionally, the drop for GOOGL was more significant than that of BTC.
Do you think BTC or GOOGL will see growth next week or will the losses continue? Let us know 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.
[Image credits: Trading view, Shutterstock]
In line with the Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to accurate, unbiased reporting, but market conditions are subject to change without notice. Always conduct your own research and consult with a professional before making any financial decisions.