In this episode of NewsBTC’s daily technical analysis videos, we examine Bitcoin price following the October monthly close and new November candle open.
Have a look below at the video.
VIDEO: Bitcoin Price Analysis (BTCUSD), November 1, 2022
BTC Production Costs On Par with the 2018 Bear Market
We will start by looking at how much it costs to make each Bitcoin. Bitcoin has now fallen to the level of the 2018 bear, which was for the longest period below the cost per unit. However, this could also indicate at least another month worth of price volatility.
The cost of producing Bitcoin for the majority miners is lower than it would be | Source: BTCUSD on TradingView.com
Related Reading: The Inverted Bitcoin Chart Bears Don’t Wanna See | BTCUSD Analysis October 27, 2022
Bitcoin Momentum is Building from Lows
Monthly momentum isn’t turning over as fast as it did during the 2018 bear market, leaving some risk remaining that more lows are possible. A bigger fall is possible if the current pink histogram becomes red.
Bullish monthly stochastics are also being flipped. Past crossovers have pin-pointed previous bottoms, but there won’t be any bull run until the tool rises out of oversold territory.
Are We Going to See A Cyclical Finality in The Dollar?
To the left is BTCUSD per month using the Fisher Transform. This indicator uses statistics to pinpoint market turning points. The monthly Fisher on Bitcoin is at the level of Bitcoin’s price action that it bottomed. Each bottom also has recurred with astonishing precision cyclically.
To the right, the Dollar Currency Index is showing a topping signal inverse of Bitcoin’s bottoming signal, all while at the most extreme deviation in the entire history of the index on monthly timeframes.
Bitcoin might see a resumption in its bull markets if the DXY stops or reverses. The cryptocurrency market may see new lows if the dollar continues to gain momentum.