ETH price is showing positive signs above the $180 pivot level against the US Dollar.The price is likely to continue higher above the $184 and $185 resistance levels in the near term.There is a key bullish trend line forming with support at $178 on the hourly chart of ETH/USD (data feed via Kraken).The price could correct a few points, but it remains supported near $178 and $175 in the near term.Ethereum price is gaining momentum above the $175 level versus the US Dollar, while bitcoin is consolidating. ETH price is likely to continue higher above $185.Ethereum Price AnalysisIn the past few sessions, ETH price remained well bid above the $170 support against the US Dollar. However, bitcoin price remained in a range above the $10,200 support area. Ethereum price is showing positive signs and is trading nicely above the key $175 support area. Moreover, there was a break above the $180 level and the 100 hourly simple moving average.The last swing high was formed $186 and it is recently corrected lower. There was a break below the $182 support and the 50% Fib retracement level of the last wave from the $176 low to $186 high. Additionally, the price spiked below the $180 support level. However, the $178 level acted as a strong support. Besides, the 76.4% Fib retracement level of the last wave from the $176 low to $186 high acted as a support.More importantly, there is a key bullish trend line forming with support at $178 on the hourly chart of ETH/USD. The trend line and $178 support could act as a strong buy zone. If there is a downside break below $178, the price could continue to move down towards the $175 level. The next key support is near the $173 level. It coincides with the 1.236 Fib extension level of the last wave from the $176 low to $186 high.On the upside, there are many hurdles near the $184 and $185 levels. If there is an upside break above the $185 resistance, the price could accelerate higher. The next stop for the bulls could be near the $192 and $195 level.Looking at the chart, Ethereum price is trading with a positive and it seems like the price could accelerate towards the $200 level in the coming sessions. Only a daily close below the $170 level might negate the current bullish bias.ETH Technical IndicatorsHourly MACD – The MACD for ETH/USD is currently moving in the bullish zone.Hourly RSI – The RSI for ETH/USD is slowly rising towards the 60 and 65 levels.Major Support Level – $175Major Resistance Level – $185
Archives for September 9, 2019
Looking back at when derivatives products were launched for other asset classes may offer some insight as to what will happen to Bitcoin markets. Analysts have been doing just that and the results are extremely bullish on paper but there could be some differences with crypto assets.Bitcoin Futures Good or Bad?To draw comparison, trader and analyst Luke Martin has taken a look at performance charts for gold and oil following the introduction of derivatives products.“Charts showing the growth of commodities markets after low-friction derivatives products (like ETFs) were introduced. If the $BTC market is similar at all, it would have a massive impact on market expansion.”Charts showing the growth of commodities markets after low-friction derivatives products (like ETFs) were introduced.If the $BTC market is similar at all, it would have a massive impact on market expansion.chart from @rusnewton98 blog: https://t.co/9yEVhcASR2 pic.twitter.com/uHDZnp1wTA— Luke Martin (@VentureCoinist) September 9, 2019In both instances the futures volumes grew much faster than those of the physical asset. This indicates that these products were designed for institutional traders that want some of the market action without getting their fingers dirty with the actual asset.If the similar were to happen to Bitcoin markets, it may only be beneficial to BTC if the futures were physically settled, i.e. paid out in BTC and not USD. In 2017 both CME and CBOE launched similar products which allowed investors to short the asset for the first time which many have attributed to the massive bear market that followed.The difference this time around is that Bakkt will be offering physically delivered Bitcoin Futures contracts; due to launch on September 23rd. Yesterday, the company announced that its digital storage facility was open for deposits.“The Bakkt Warehouse allows for the safe, secure storage of bitcoin, representing a milestone as we prepare for the launch of the Bakkt Bitcoin Daily and Monthly Futures contracts on ICE Futures U.S.”The Bakkt Warehouse allows for the safe, secure storage of bitcoin, representing a milestone as we prepare for the launch of the Bakkt Bitcoin Daily and Monthly Futures contracts on ICE Futures U.S. (@ICE_Markets)https://t.co/LT1335ik1P— Bakkt (@Bakkt) September 9, 2019Just a few days ago a huge BTC transfer was observed which is possibly related to this. In the blog post that Russell Newton penned comparing the commodities markets, he added that large institutional buyers are unlikely to want to take physical settlement in digital assets, adding;“It is much more likely that these institutional investors will take synthetic exposure that provides them with the price volatility of digital assets without all of the underlying execution risk and operational risk.”He continued to state that there has also been a steady, but often volatile, flow of finances into this asset class which is likely to continue regardless of any institutional gambling products that hit the markets. The short term impact on BTC markets remains to be seen as the asset continues to consolidate but in the long term it has definitely cemented its status as a new and viable asset class.Image from Shutterstock
Consumer electronics giant LG may be looking to launch its own blockchain smartphone.
A report earlier today from Korean media outlet Chosun said “LG is likely to respond to Samsung’s innovation initiative,” a major brand competitor. In the report, Chosun further claimed LG is having difficulty separating a potential blockchain phone from Samsung’s previous releases.
“LG has been struggling to apply blockchain to smartphones without any dissimilarity,” a Chosun source continued. “I think Samsung is trying to prepare differently in the blockchain field, just as LG responded with a dual-screen when Samsung Galaxy came out with a foldable phone.”
Chosun also said LG has completed market research on dapp and blockchain providers. Earlier this summer, LG applied to trademark “ThinQ Wallet” in the United States. The patent states ThinQ is purposed for a transaction, settlement, and e-money services.
LG and Samsung may be the major name brands in the field but they aren’t alone.
Sirin Labs’ Finney blockchain smartphone began shipments last December starting at $999 and last week Huobi Global announced the launch of its ‘Acute Angle’ blockchain phone in Southeast Asian markets.
LG image via Shutterstock
Long term price predictions for Bitcoin are always positive since very few industry analysts see things going south for the technology. This year has been very bullish for BTC, compared to the nightmare it had last year. Looking at the charts though could spell quite a long wait for the next market cycle peak.Bitcoin Could Take Its Time To Reach Next HighBTC has made over 170 percent since the beginning of the year and while that is no mean feat, it doesn’t compare to gains in recent bull markets. In just three months in late 2017 the king of crypto surged 400 percent to hit its all-time high.This time around the going seems a lot slower, especially considering the past ten weeks of sideways trading with little clear direction. The market cycles from boom to bust appear to be extending, with each one taking considerably longer than the previous. So, the big question remains, when can we expect the next cycle peak?Crypto analysts have been looking at past bull cycles in an effort to determine the length of the next and we may have a bit of a wait. Josh Rager has observed that market bottoms to tops are not sharp movements so it could be a good few years until the next one.“Each Bitcoin market cycle took significantly longer than the previous. Each market bottom to peak-high in price wasn’t as sharp. Next peak-high likely a few years away but good things come to those who wait”Be patient with $BTC and the crypto marketEach Bitcoin market cycle took significantly longer than the previousEach market bottom to peak-high in price wasn’t as sharpNext peak-high likely a few years away but good things come to those who wait pic.twitter.com/3ieCOeDG7r— Josh Rager 📈 (@Josh_Rager) September 9, 2019His observations are similar to those from analyst ‘Moon Overlord’ who said something similar last week.“Naturally as Bitcoin expands as does the velocity at which these moves take place. With each dollar added to the marketcap it becomes that much harder to grow and the percentages become more incremental. A bull market at this scale will take years to play out to full effect”Naturally as Bitcoin expands as does the velocity at which these moves take placeWith each dollar added to the marketcap it becomes that much harder to grow and the percentages become more incrementalA bull market at this scale will take years to play out to full effect pic.twitter.com/R7UhgRLAnB— Moon Overlord (@MoonOverlord) September 4, 2019Those charts do not offer a next peak, which could arrive somewhere in the middle of the next decade, but they do both agree that there will be one.Really? That Long …Other arguments for a shorter period to the next peak include the fact that Bitcoin is now considered a new asset class and previous data has been accumulated in less than a decade. Those charts also do not include institutional investment which has yet to weigh in and the fact that millions are now seeking safe haven, offshore hedges against government currency and economy manipulation.In the short term there appears to be little demand for Bitcoin at current price levels and only when it drops into four figures do the buyers wake up. In the long term, patience will be the key.Image from Shutterstock
Incoming European Central Bank President Christine Lagarde advocates for an open approach to cryptocurrency regulation. | Image: Shutterstock
Christine Lagarde, the chairman of the International Monetary Fund (IMF) and presidential nominee for the European Central Bank (ECB), has urged regulators to remain “open” to the opportunities presented by distributed ledger technology when developing crypto regulations.
During a statement delivered to the Economic and Monetary Affairs Committee of the European Parliament, Lagarde emphasized the need for lawmakers and central banks to balance responding to both the risks and the opportunities that may arise as a consequence of new financial technologies.
Lagarde Favors Balanced Crypto Regulations
With regard to virtual currencies, Lagarde suggested that supervisory authorities must be alert to risks pertaining to “financial stability, privacy, or criminal activities,” while also “recognizing the social benefits from innovation” and “ensuring regulation is in place to steer technology towards the public good.”
The IMF head added that regulators should take a hands-off approach in engaging with firms that are innovating with digital currencies by “allowing them space to develop.”
Lagarde has been nominated to succeed the outgoing ECB president, Mario Draghi, and will assume office on Nov. 1. Lagarde’s tenure as IMF chairman will cease on Sep. 12.
ECB Criticizes Facebook’s Libra
Libra, Facebook’s planned cryptocurrency, has faced backlash from regulators all around the world. | Source: Shutterstock
At the start of September, ECB executive board member Yves Mersch took aim at Facebook’s proposed stablecoin, Libra.
Speaking to attendees of the European System of Central Banks’ recent conference, Mersch called Libra a “siren call” and described the venture’s proposed governance structure as “cartel-like,” with the Calibra’s founding members set to act as “quasi-sovereign issuers of currency.”
“With such a set-up, it is difficult to discern the foundational promises of decentralization and disintermediation normally associated with cryptocurrencies and other digital currencies.”
ECB Publishes Report Examining Stablecoins
In August 2019, the European Central Bank published a report in its Occasional Paper Series titled, “In search for stability in
crypto-assets: are stablecoins the solution?” | Image: Shutterstock
Last month, the ECB published a 55-page report discussing stablecoins. The report asserted that stablecoins manifest a trade-off between the innovation in the stabilization mechanism underpinning the virtual currency and the stability of the value of the currency that it is backed by, stating:
“On the one hand, the least innovative stablecoin initiatives focus on the mere tokenisation of currency units: they rely on traditional systems for the safekeeping of funds, in the form of either electronic money or scriptural money, and use distributed ledger technology (DLT) to issue their mere representations in the form of claims on the entity in charge. On the other hand, most innovative initiatives currently do not keep to the promise of maintaining a stable value.”
At the start of August, the ECB announced that it plans to use both on-chain data and metadata corresponding to off-chain transactions to monitor the cryptocurrency markets.
IbIBM has doubled the number of its employees on the technical steering committee (TSC) of Hyperledger, stoking concerns about the tech giant’s influence on the enterprise blockchain consortium.
Six out of the 11 2019-2020 TSC members announced last week are IBM employees. Five work at Big Blue itself and one, Mark Wagner, is a senior principal engineer at Red Hat, an IBM subsidiary. By comparison, the previous year’s TSC had only two IBM representatives and the same number of total seats (Wagner served on the committee, but IBM’s acquisition of Red Hat did not close until July 2019).
The new committee will begin governing after the new TSC chair is elected next week.
While IBM has long played a major role in Hyperledger, having contributed the code for Fabric, the consortium’s biggest and oldest project, the election results rattled some participants from rival firms.
Todd Little, a blockchain platform architect at Oracle, wrote in the TSC mailing list:
“It is very clear that IBM now controls the TSC and is that the direction Hyperledger wants to take?”
At stake is the direction of one of the three most widely adopted enterprise blockchain platforms, the others being R3’s Corda and variants of the ethereum blockchain. The Hyperledger TSC is responsible for creating working groups to focus on technical issues, approving projects and reviewing updates.
Low voter turnout was also raised as a reason to mistrust IBM’s dominance on the committee, with only 33 percent of Hyperledger members casting ballots.
“It has been shown that in a low turnout election, committed and well-organized groups dominate,” wrote Vipin Bharathan, an enterprise blockchain consultant.
IBM had no comment by press time.
Brian Behlendorf, Hyperledger’s executive director, responded to the concerns on the mailing list discussion.
Hyperledger developers “are expected to participate and contribute as individuals first, and as employees second,” Behlendorf wrote.
He added that Hyperledger staff had privately given feedback in the past when seeing TSC members act out of loyalty to their employers, that the community can call out misbehavior, and that Hyperledger can’t change the outcome of an election just because the results aren’t what members expected.
In an interview with CoinDesk, Behlendorf noted that the voter turnout was consistent with what Hyperledger had experienced in the past. “It’s not like Linux or other open source organizations have 100 percent or 80 percent turnout,” he said.
Around 130 of the 600 eligible voters participated in this last election. Anyone who contributes code to Hyperledger is allowed to vote, and anyone can nominate themselves or someone else.
Since the company has made more technical contributions than any other company associated with the consortium, this is not the first time that IBM has been suspected of having outsized control at Hyperledger, which has not been the company’s intention, Behlendorf told the mailing list.
“[I]t was made clear to us that IBM didn’t want that outcome,” he wrote. “They brought Fabric to Hyperledger to get developer leverage, so that their headcount would be complemented by the efforts of many others.”
Hyperledger worked with IBM on the technical process and public perception issues.
“I believe these are in the past,” Blehendorf wrote. “They no longer are more than half the contributions into Fabric … There are many other projects beyond Fabric in Hyperledger, and IBM has supported those, boosting Indy and Sawtooth and now even welcoming Besu. Perhaps this is one reason the other electors felt comfortable voting for the IBM-employed candidates.”
The way forward
Blenhendorf then suggested that the TSC discuss increasing the size of the committee with the governing board or for “one time add of a set of new TSC members, so that this greater representation can happen in the current TSC team.”
Little argued that the TSC requirements seemed to be lacking. Under the voting process, he said, one outcome could be a steering committee run by non-Hyperledger members.
“[I]t just seems a little odd to me that there aren’t any diversity requirements for the TSC,” Little wrote. Replying to Behlendorf, he added: “You are correct in that the TSC members are individuals and not companies, but everyone [sic] of them know who butters their bread.”
Bob Summerwill, executive director of the Ethereum Classic Cooperative, noted another kind of diversity win, however.
Two women, Tracy Kuhrt, a technology architect at Accenture’s emerging technology division, and Swetha Repakula, a software engineer at IBM’s Open Technologies, won committee seats.
Summerwill told the mailing list:
“While I would agree that the high level of IBM affiliation on the 2019-2020 committee is less than ideal, I must take the opportunity to congratulate Tracy and Swetha both on standing for AND winning election to the TSC following years of 100% male candidates.”
Brian Behlendorf at Construct 2019, image via CoinDesk archives
Throughout the course of the long crypto winter that extended throughout 2018 and into the early months of 2019, Bitcoin (BTC) miners faced deep losses that led many of them to shut off their rigs, which was seen by many as being detrimental to the crypto’s network health.New data suggests that the price gains incurred throughout the first half of 2019 have now made Bitcoin mining profitable, but this may not necessarily be a bullish thing for BTC’s price.Bitcoin Miners Incur Widespread Profitability Bitcoin’s price has risen significantly throughout the first half of 2019, running from lows of nearly $3,000 to highs of just below $14,000.Although BTC has dropped significantly from its year-to-date highs, it is important to note that it is still up significantly from its 2019 lows, which has been a great thing for the cryptocurrency’s miners.Alex Kern, an analyst at Fundstrat Global Advisors, explained in a recent tweet that most popular mining rigs, including some older ones, are currently profitable, as the total cost to mine one Bitcoin is roughly between $7,300 and $8,500.“From today’s @fundstrat Bitcoin mining update – @BITMAINtech Antminer S9’s cash and total cost of mining 1 $BTC = $7300 and $8500 (assuming $0.06 / kWh) – Older and newer generation mining rigs are profitable with BTC at current levels,” he explained.From today’s @fundstrat Bitcoin mining update…– @BITMAINtech Antminer S9’s cash and total cost of mining 1 $BTC = $7300 and $8500 (assuming $0.06 / kWh)– Older and newer generation mining rigs are profitable with BTC at current levels pic.twitter.com/Pe7POApyp2— Alex Kern (@AlexKernA) September 9, 2019Is Profitable Mining Bullish for BTC?Although having widely profitable miners may contribute to Bitcoin’s network health, it is not necessarily a bullish thing for BTC’s price, as miners are likely selling their profitably mined crypto in order to fund their capital expenses.Thomas Lee, the co-founder of Fundstrat, spoke about the impact that profitable miners could have on BTC’s price, explaining that it is highly likely that they sell their profitably mined crypto in order to fund their expenses, which could mean that they are putting some downwards pressure on its price.“Latest mining report from our quant team. Using S9 and $0.06/kWh, cash breakeven for $BTC mining is $7.3K vs price of ~$10k. Miners profitable and apparently some older rigs are also profitable. Their thesis remains if miners making $$$, they are BTC sellers to fund capex,” he said.Latest mining report from our quant team. Using S9 and $0.06/kWh, cash breakeven for $BTC mining is $7.3K vs price of ~$10k. Miners profitable and apparently some older rigs are also profitable.– Their thesis remains if miners making $$$, they are BTC sellers to fund capex https://t.co/TZaEKHehRy— Thomas Lee (@fundstrat) September 9, 2019Regardless of whether or not miners are dumping their Bitcoin onto the markets, their profitability is critical for promoting long-term fundamental growth.Featured image from Shutterstock.
SEC Chairman Jay Clayton suggests that a bitcoin ETF may be approved once price-manipulation concerns are addressed. | Source: REUTERS / Brendan McDermid
SEC Chairman Jay Clayton says the agency is inching closer to finally approving a bitcoin ETF. However, he warns that more work needs to be done to deter price manipulation and ensure a transparent market.
Clayton made the assertions during a CNBC interview with Bob Pisano (video below). Pisano asked if we’re any closer to seeing a bitcoin ETF soon.
Clayton responded by saying, “Yes. But there’s work left to be done.”
Are we any closer to seeing a Bitcoin ETF some day? SEC Chairman Jay Clayton to @CNBC: “yes, but there’s work left to be done” @SEC_News @bobpisani @kellycnbc @CNBCTheExchange #bitcoin #crypto pic.twitter.com/iJP3nn9XHc
— The Exchange (@CNBCTheExchange) September 9, 2019
SEC Fears ‘Significant’ Bitcoin Price Manipulation
Specifically, Jay Clayton says the Securities and Exchange Commission wants more information about custody as well as assurances against price manipulation.
“How do we know that we can custody and have a hold of these crypto assets?” Clayton said. “That’s a key question. An even harder question — given that they trade on largely unregulated exchanges is — ‘How can we be sure that those prices aren’t subject to significant manipulation?”
The SEC chairman admits that progress has been made on those fronts. However, he warns that “people needed to answer those hard questions for us to be comfortable that this was the appropriate type of product.”
‘Crypto Mom’: SEC Should’ve Approved Bitcoin ETF
In August, the SEC again delayed making a final decision on three bitcoin ETF applications. While a delay is better than an outright rejection, the move frustrated many in the crypto industry.
Meanwhile, SEC Commissioner Hester Peirce says the agency should’ve approved a bitcoin ETF already. In June, Peirce blasted the agency for being an out-of-touch dinosaur.
Peirce has repeatedly torched the SEC for its glacial approach toward approving a bitcoin ETF. She says the agency’s timidity puts it in the position of being a babysitter for investors.
Lame ‘Old’ SEC Should’ve Approved a Bitcoin ETF Already, Scolds Crypto Mom https://t.co/sYBeYIKVrd
— CCN Markets (@CCNMarkets) June 26, 2019
Peirce Scolds SEC: Stop Being Lame Dinosaurs
Moreover, Peirce noted that the SEC has been very closed-minded when it comes to embracing innovation. “The agency is old and has not historically been great with innovation,” she quipped.
Hester Peirce is one of five SEC commissioners. They each have differing views on crypto. Peirce was affectionately nicknamed “Crypto Mom” because of her pro-crypto positions.
In July 2018, Peirce was the only SEC commissioner who voted to approve the bitcoin ETF application submitted by the Winklevoss twins, Tyler and Cameron.
The rejections — in March 2017 and again in June 2018 — cited the twins’ failure to demonstrate how their bitcoin ETF could prevent market manipulation.
The SEC rejected the Winklevoss twins’ bitcoin ETF applications in 2017 and 2018. | Image: Gemini/Twitter
Van Eck: Bitcoin ETF could fortify US economy
Gabor Gurbacs, of investment management firm VanEck, says the SEC should approve a bitcoin ETF soon because it could be a major driver of the U.S. economy for the next decade.
“We are waiting finally for regulators to approve a bitcoin ETF, which would bring digital assets under the regulated American capital market,” Gurbacs said. “This could be, for the next decade, the driver of our economy.”
Gurbacs says the United States should harness these technologies to upgrade its payments systems and capital markets infrastructure. He contends that doing this would make America the world leader in the budding digital economy.
The number of BTC awarded to miners for adding blocks to the Bitcoin blockchain is set to decrease next year. These so-called halving events occur about every four years and are part of the cryptocurrency’s distribution schedule.The next halving, expected in May of 2020, will be Bitcoin’s third. The previous two halvings resulted in huge surges in BTC price in the months that followed them.Will Bitcoin Rally Following the 2020 Halving?Bitcoin was originally designed with a hard and fast supply distribution schedule. Every 210,000 blocks mined by the Bitcoin network, the number of Bitcoin awarded to miners for successfully adding a block to the blockchain decreases. In 2009, block rewards were 50 BTC. After four years, this decreased to 25, then to the current reward of 12.5 in 2016.The number will reduce once again to 6.25 BTC next year. Previous having events have been followed by steep run ups in Bitcoin price. From a theoretical perspective, this makes sense. Equal or increased buying pressure with few new coins hitting the market will make the price rise.We can not predict the future but we can learn from the past:The two previous halvings (blue dots) leaded a massive surge on #Bitcoin price.We are getting closer to the third one. pic.twitter.com/7LKdedyksu— Crypto Rand (@crypto_rand) September 9, 2019Using a stock to flow model, the Twitter cryptocurrency analysis account CryptoRand charts that the 2020 halving might see prices soar as high as $100,000 per Bitcoin, if the previous halving events are anything to go by.Meanwhile, other popular trading analysis Twitter accounts have drawn even more bullish conclusions based on previous performances following Bitcoin halving events. Rekt Capital identifies that Bitcoin price rose over 13,000 percent following the first halving and 12,000 percent after the second. If Bitcoin was to rally by similar percentages from its current ~$10,000 price point, the eventual top may be between $385,000 and $425,000.How much has #Bitcoin rallied as a result of each of its Halvings to date?Halving 1:+13,378%Halving 2:+12,160%If Bitcoin rallies anything between 12,160 – 13,378% as a result of Halving 3…The price of one Bitcoin will be $385,000 – $400,000#Crypto— Rekt Capital (@rektcapital) September 7, 2019Despite the knowledge of the halving being freely available to anyone that cares to read about Bitcoin, there is evidence to suggest that some high net worth investors do not know about the halving or its potential implications. With known events, there is a tendency for a market to price news in prior to its delivery. However, Grayscale Investments stated this summer:“We were surprised to learn that many [clients] were not even aware of this event.”Cryptocurrency market commentator Joseph Young concluded that the halving may not be priced in and the BTC price may still react positively to the event:According to Grayscale, many investors are not aware of the bitcoin block reward halving. As such, it still remains a key factor for the price and it is not completely priced in.“We were surprised to learn that many of them were not even aware of this event.” (Grayscale) pic.twitter.com/Fg7A7SWJYt— Joseph Young (@iamjosephyoung) June 7, 2019Interestingly, Litecoin recently had its own halving event. Whilst the altcoin experienced a run up in price out of tandem with the rest of the cryptocurrency market in the weeks leading up to the halving, since the supply of new Litecoin entering the market has reduced, the price has crashed more spectacularly versus Bitcoin than any single top ten crypto asset:Litecoin has performed poorly versus Bitcoin since its halving earlier this year. Related Reading: Crypto Analyst: Bitcoin Price Could Be Trapped in Tight Range Until HalvingFeatured Image from Shutterstock.
Most crypto market participants have been closely watching to see how Bitcoin (BTC) reacts to its current position within the middle-$10,000 region, as whether or not it climbs higher or breaks lower from this price level could set the tone for the rest of the year.Regardless of where the price goes in the near term, one critical fundamental indicator just hit a fresh all-time-high today, signaling that Bitcoin is fundamentally robust at the moment, which may ultimately result in bullish price action in the long-term.Bitcoin Price Stagnates At the time of writing, Bitcoin is trading down marginally at its current price of $10,380, a price region at which it has been trading sideways at for the past several days.Previously, analysts have noted that $10,400 is a critical price level for the cryptocurrency, and a failure to decisively flip this current resistance level into a support level could spell trouble for BTC in the coming days and weeks.Mayne, a popular cryptocurrency analyst on Twitter, explained in a recent tweet that a decisive break above $10,400 could lead Bitcoin’s price to surge past $11,000, but any extension of its downwards momentum could lead it to plummet back into the $9,000 region.“$BTC Doesn’t look like we are going to hold $10.4K, if we can regain it we may have a shot at $11k. I’d look for a run of that $11.5k swing high. For now, this is looking dumpy to me, lose $10.2k and the $9k equal lows are calling,” he noted.$BTCDoesn’t look like we are going to hold $10.4K, if we can regain it we may have a shot at $11k. I’d look for a run of that $11.5k swing high.For now, this is looking dumpy to me, lose $10.2k and the $9k equal lows are calling. pic.twitter.com/bn8Lt2zU5u— Mayne (@Tradermayne) September 9, 2019BTC Hash Rate Surges to Fresh All-Time-HighBitcoin’s hash rate, which is a key indicator that shows BTC’s network health, just surged to a fresh all-time-high today, which signals that the cryptocurrency’s network is incredibly healthy at the moment, despite its current price lull.Bitcoin Birch, another popular crypto analyst, spoke about this in a recent tweet, noting that it is up over 70% year-over-year.“Bitcoin has never been stronger. A $BTC chart often overlooked is hashrate (miner power dedicated to processing transactions). Simply put; more hashes = a more secure & stronger blockchain. It just made a new all-time high, up 70%+ YoY,” he said.Bitcoin has never been stronger 💪A $BTC chart often overlooked is hashrate (miner power dedicated to processing transactions).Simply put; more hashes = a more secure & stronger blockchain.It just made a new all-time high, up 70%+ YoY. pic.twitter.com/AYIKRUyFA0— Bitcoin Birch 👨💻 (@BitcoinBirch) September 9, 2019As Bitcoin continues to range around the key $10,400 level, it is highly likely that it will soon grow clear as to whether or not bullish fundamentals are enough to propel the crypto’s price back towards its previously established all-time-highs.Featured image from Shutterstock.