Bitcoin outlook September 2019 – Market Watch

Market Watch Bitcoin

Bakkt has arrived for Bitcoin. Bakkt is a bitcoin futures exchange and digital assets platform founded in 2018 by the Intercontinental Exchange (ICE), the parent company of the New York Stock Exchange (NYSE). This new futures contract is seen by many as putting more legitimacy behind the cryptocurrency. Bakkt’s futures will be physically settled, meaning buyers receive bitcoin at expiration, whereas the futures available since 2017 at the Chicago exchange CME Group are cash-settled. This may encourage buying of Bitcoin to make these settlements.

News Forecasters believes the fundamentals driving Bitcoin prices short-term will be market volatility that typically comes in the autumn each year. The October effect is more of a psychological expectation rather than an actual phenomenon. Some investors get nervous during October because it represents dates of some sizeable historical market crashes – a self-fulfilling prophecy.

Let’s look at the technicals for BTC:USD (see inset chart). Bitcoin is currently in a downward sloping wedge – typically a bit short term bearish. News Forecasters’ view is that after a little fake to the downside ($6,000 to $8,000), Bitcoin rallies back up to the top of the current wedge near 14,000. Then pulls back and blasts through to rechallenge the old highs at near $20,000. From here we could see a pullback – let’s wait until it gets there and then we can see if new highs are coming in 2020. This move will coincide with the typical autumn market turmoil.

Here is News Forecasters’ long term view of the viability of cryptocurrencies. Bitcoin is here to stay for the foreseeable mid-term future.

A video presentation of this subject:

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