empty
InstaForex Loprais Team - Official participant of the Dakar rally
InstaForex Loprais Team - Official participant of the Dakar rally
This section is designed for those who are just starting their trading journey. InstaForex educational and analytical materials will meet your training needs. Our experts' recommendations will make your first steps to trading success simple and clear.
Start as Beginner
How to start trading
Useful information
Training and recordings
InstaForex innovative services are an essential element of productive investment. We strive to provide our clients with advanced technical capabilities and make their trading routine comfortable as we are recognized as the best broker in this regard.
Become Investor
PAMM System
ForexCopy System
Passive investments
Partnership with InstaForex is beneficial and top-tier. Join our affiliate programs and enjoy bonuses, partner rewards, and the possibility to travel with the team of the world-renowned brand.
Become Partner
Main Page
Partner Area
Advantages for Affiliates
Registration
This section contains the most lucrative offers from InstaForex. Receive bonuses when topping up an account, compete with other traders, and get real prizes even when trading in a demo account.
All Promo Campaigns
Bonuses
Contests
Events
Holidays with InstaForex are not only pleasant but also useful. We offer a one-stop portal, numerous forums, and corporate blogs, where traders can exchange experiences and become successfully integrated into the Forex community.
Full details
Forums
We are in social networks
Forex humour
Forex Portal
InstaForex is an international brand created in 2007. The company provides services for online FX trading and is recognized as one of the world's leading brokers. We have won the trust of more than 7,000,000 retail traders, who have already appreciated our reliability and focus on innovations.
Learn More
History
Why Choose Us
InstaSport
Regulation
Company News
Awards
InstaForex Stars
InstaForex Offline
Key documents
Social Responsibility
30.11.2021 05:00 PM
Energy Crisis and Mining Problems May Hinder Further Bitcoin Recovery: Possible Options of BTC Price Movement
Open trading account Open demo account

Bitcoin kicks off its new trading week briskly, recovering above an important support area. Technical indicators are overgrowing with bullish signals, and on-chain activity continues to grow, but despite all the local positives, there is a possibility that the current correction will worsen. This is due to the problems that have arisen in the energy industry and the first decrease in the bitcoin hash rate since June 2021. I suppose that this news will be an appetizer served before the main course, which will have a significant negative impact on the growth of bitcoin quotes.

One of the most obvious reasons for the possible aggravation of the correction is its duration and insignificance compared to other similar periods for 2020-2021. However, the probability of aggravation of the correction is supported solely by technical reasons.

There's more disturbing news from the fields of the mining industry, where the difficulty of mining bitcoin has decreased by 1.43%. The probable reason for this is the blocking of mining pool domains in China, as well as a significant shortage of electricity in Kazakhstan. In addition, representatives of the mining industry from Texas and Kyrgyzstan are notifying about the impending energy crisis.

This image is no longer relevant

By themselves, minor power outages look like local problems, but the global recognition of energy generation problems raises significant concerns about the future of mining in general. This will be especially acute for Bitcoin, which has already stepped on the path of recovering quotes before a full-fledged bull rally.

If the problem is not resolved or disguised in the near future, then we should expect problems with the main Bitcoin network, the growth of fees, and low transaction speed, which will negatively affect the updating of historical highs.

In the long term, the effect can be commensurate with the situation in June 2021, when BTC was heavily criticized for being unsustainable. In the short term, problems with mining may not have a defining effect and the bull market will start without too many problems. However, its consequences and general excitement can significantly aggravate the crisis issue of energy consumption.

Meanwhile, bitcoin has dropped slightly after the impulse growth but continues to hold the $57k mark, which is a bullish signal. The coin has confidently overcome the resistance zone around $56.4k and is trying to gain a foothold above it. So far, this idea has not been implemented, since the 0.382 Fibo level perfectly plays the role of a resistance zone, which does not let the price go higher.

However, a more global picture indicates an imminent breakdown of this milestone. Judging by the technical indicators, the bullish audience has activated and begun a massive buyback of the bears supply. This is reflected in the growth of the main metrics: the MACD is bullish for the first time in several weeks and begins to move towards zero, while the stochastic and relative strength index settled in a bullish zone, which indicates an increase in the number of purchases and a gradual price movement towards the $60k level.

This image is no longer relevant

Taking this into account, I expect that bitcoin will continue its upward movement and will be able to make an impulsive breakdown of the 0.382 Fibo level. Subsequently, this mark will become a support level for the coin while moving to the next line, in the $60k area, which will become an important psychological area, breaking through and consolidating above which will take some time.

Artem Petrenko,
Analytical expert of InstaForex
© 2007-2025
Select timeframe
5
min
15
min
30
min
1
hour
4
hours
1
day
1
week
Earn on cryptocurrency rate changes with InstaForex
Download MetaTrader 4 and open your first trade
All Analytics
Wave analysis
GBP/USD Analysis – March 18th The wave structure for GBP/USD remains somewhat ambiguous yet generally clear. At present, there is a high probability that a long-term downward trend is forming. Wave 5 has taken
Chin Zhao
19:45 2025-03-18 +02:00
1465
Wave analysis
EUR/USD Analysis – March 18th The wave structure on the four-hour chart is at risk of transforming into a more complex formation. A new downward wave structure began forming on September 25, taking the shape
Chin Zhao
19:43 2025-03-18 +02:00
1510
Breaking Forecast Trading Plan Cryptocurrencies USD/RUB Russian Economy Video Analysis
Trading Instruments
EURUSD GBPUSD USDCHF USDCAD USDJPY AUDUSD EURGBP EURJPY NZDUSD EURNZD Silver Gold #CL #USDX COVID-19 Bitcoin
  • Grand Choice
    Contest by
    InstaForex
    InstaForex always strives to help you
    fulfill your biggest dreams.
    JOIN CONTEST

Recommended Stories

BTC/USD Analysis – March 18th: Bitcoin Prepares for Growth, but the Risk of Collapse Remains

The 4-hour wave structure for BTC/USD appears clear and well-defined. After completing a five-wave bullish trend, a bearish phase began, which currently resembles a corrective pattern. Based on this
Chin Zhao 09:47 2025-03-18 UTC+2

Trading Recommendations for the Cryptocurrency Market on March 18

Bitcoin and Ethereum buyers attempted to achieve more significant growth, and for a moment, the bullish market might gain hope for a return. However, they could not hold the achieved
Miroslaw Bawulski 08:00 2025-03-18 UTC+2

Bitcoin and Ethereum struggling to stay afloat

Bitcoin and Ethereum carry on with their efforts to grow, despite encountering difficulties each time. Nevertheless, the chances of a return to a bullish market remain quite high. After
Jakub Novak 09:32 2025-03-17 UTC+2

Trading Recommendations for the Cryptocurrency Market on March 17

Bitcoin and Ethereum continue to consolidate within their respective channels, allowing for the expectation of a continued bullish market. However, several technical factors must be met for this to happen
Miroslaw Bawulski 08:04 2025-03-17 UTC+2

Another Consolidation Before a Drop

Bitcoin and Ethereum continue their attempts to rise, but each time they face obstacles, suggesting that this is more of a consolidation phase within an ongoing bearish correction rather than
Jakub Novak 12:25 2025-03-14 UTC+2

Trading Recommendations for the Cryptocurrency Market on March 14

Bitcoin and Ethereum are currently consolidating within channels, creating conditions that may lead to further declines. While many experts agree that the lows have already been reached and an unstoppable
Miroslaw Bawulski 08:20 2025-03-14 UTC+2

Technical Analysis of Intraday Price Movement of Uniswap Cryptocurrency, Friday March 14, 2025.

From what is seen on the 4-hour chart of the Uniswap cryptocurrency, although currently still under pressure, is indicated by its price movement moving below the EMA (21) which
Arief Makmur 07:03 2025-03-14 UTC+2

Technical Analysis of Intraday Price Movement of Doge Cryptocurrency, Friday March 14, 2025.

With the appearance of Convergence between the price movement of the Doge cryptocurrency and the Stochastic Oscillator indicator, it gives an indication that in the near future Doge
Arief Makmur 07:03 2025-03-14 UTC+2

Bitcoin and Ethereum Buyers Struggle to Gain Control

Bitcoin continues its recovery after the major sell-off at the beginning of the week. However, yesterday's failure to break the weekly high casts doubt on the short-term bullish outlook
Jakub Novak 10:22 2025-03-13 UTC+2

Trading Recommendations for the Cryptocurrency Market on March 13

Bitcoin and Ethereum are locked within new channels. On the positive side, the intense selling pressure observed at the beginning of the week has subsided. However, there are concerns about
Miroslaw Bawulski 08:05 2025-03-13 UTC+2

Top analytics

Relevance up to 00:00 2025-03-19 UTC--4
Global Market Dynamics: China, the US and AI Are Driving New Trends
06:16 2025-03-18
News
Relevance up to 03:00 2025-03-20 UTC--4
No Major Surprises Expected from the Fed Meeting (Anticipating a Sharp Drop in EUR/USD and Continued Cautious Gold Price Growth)
09:48 2025-03-18
Fundamental analysis
Relevance up to 20:00 2025-03-18 UTC--4
EUR/USD Pair Overview – March 18: The Break is Over
05:04 2025-03-18
Fundamental analysis
Relevance up to 01:00 2025-03-19 UTC--4
EUR/USD: Simple Trading Tips for Beginner Traders on March 18. Review of Yesterday's Forex Trades
09:00 2025-03-18
Forecast
Relevance up to 01:00 2025-03-19 UTC--4
USD/JPY: Simple Trading Tips for Beginner Traders on March 18. Review of Yesterday's Forex Trades
09:00 2025-03-18
Forecast
Can't speak right now?
Ask your question in the chat.
Widget callback
Callback widget
 

Dear visitor,

Your IP address shows that you are currently located in the USA. If you are a resident of the United States, you are prohibited from using the services of InstaFintech Group including online trading, online transfers, deposit/withdrawal of funds, etc.

If you think you are seeing this message by mistake and your location is not the US, kindly proceed to the website. Otherwise, you must leave the website in order to comply with government restrictions.

Why does your IP address show your location as the USA?

  • - you are using a VPN provided by a hosting company based in the United States;
  • - your IP does not have proper WHOIS records;
  • - an error occurred in the WHOIS geolocation database.

Please confirm whether you are a US resident or not by clicking the relevant button below. If you choose the wrong option, being a US resident, you will not be able to open an account with InstaForex anyway.

We are sorry for any inconvenience caused by this message.