Year-end Market Review
Over the course of 2019, Bitcoin has increased by nearly 100%. From a technical trading perspective, Bitcoin is currently
hovering at the center of a Fibonacci retracement. It is expected that $8,000 will be a short-term resistance level, with a longer-term
level seen at $9,000. If BTC can break through $9,000, the next resistance level is $ 12,000. In terms of trading volumes, 2019 and 2018 were
similar. If trading volumes rise further, this should put upward pressure on the BTC price.
Cryptocurrency and its potential correlation with alternative assets
We have selected some alternative assets from different markets to investigate any potential correlation with cryptocurrency in the last 48 hours. We can see from the chart that the BTC price did not correlate with the VIX index, but we can see there was a correlation with the HKTaxi license price.
Weekly BTC Trend
We can see fluctuations in the price of Bitcoin between 23 Dec to 29 Dec (in particular on Christmas Eve) once rising to the level of $7,640, and then
retreating to $7,240. The volatility occurred in a $400 range. After Christmas, the price of Bitcoin stabilized and increased slightly. The 50-day
Moving Average (MA) rose through and broke the 20-day MA.
BTC VIX index
We calculated the BTC VIX index on the basis of implied volatility, which also represents the panic index of
BTC prices. The smaller it is, the more panic there is in the market. Based on BTC 3-month & 6-month options, the BTC
VIX as of today is 12.76. Please also refer to our releases each week onwards.