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According to Transfero’s chart analysis, after the bitcoin price reaches the last Fibonacci target (1) of the bearish flag on the daily chart at around US$25.4 thousand, it is noticed the formation of a double bottom (2), which refers to a reversal figure. “This could indicate a possible change from a bearish trend to an uptrend”, the analysts stated.

Source: TradingView

According to Transfero, such configuration is currently ongoing (considering the date this analysis was done on May 19). Thus, if confirmed, we can preview BTC in the short term between US$ 38,000 and US$ 39,000.

On the other hand, if this reversal is not confirmed, we may have the persistence of bitcoin’s current bearish movement, with the next stop being at 25,000 points.

Trade bitcoin and other crypto assets at Transfero Crypto with deposit and withdrawal in Brazilian Reais.

What is bitcoin? 

Bitcoin is a cryptocurrency created in 2009 by the legendary character of Satoshi Nakamoto, who months earlier released a whitepaper (A Peer-to-Peer Electronic Cash System) describing how it works. The concept he created (peer-to-peer, or P2P) means that financial transactions are made without intermediaries, such as banking institutions.

Some decentralized digital currency projects preceded bitcoin, but it was the first one to be used. 

How to buy bitcoin?

Considering that bitcoin is the main cryptocurrency on the market, it is possible to buy it at almost any broker, both with fiat money and other cryptocurrencies.

What is the bitcoin price today?

Check last week’s chart with the bitcoin price

How to invest in bitcoin in Brazil?

To invest, you need to have a wallet open at an exchange. You can buy in it any amount, in other words, you do not have to buy 1 bitcoin, but fractions of the currency are also allowed. The smallest fraction of 1 bitcoin is 1 satoshi, equivalent to 0.000000001.

It is possible to buy in real, bank transfer, credit or debit card, or another cryptocurrency, such as the BRZ. 

Another possibility of investing in bitcoin is through investment funds. Three types of them allow investing in cryptocurrencies: hedge funds, venture capital funds, and private equity funds. Crypto Fund Research counts 804 cryptocurrency investment funds. Of these, 53% are venture capital, 44% hedge, and 3% private equity.

In Brazil, the largest cryptocurrency investment fund managers are Transfero (which actively manages funds combined with gold), Hashdex, and BLP.

How to mine bitcoin?

The term mining comes from extraction – and that is exactly what happens with bitcoin, as each block is literally extracted from virtual environments. Miners are computers that are responsible for verifying, transmitting, and recording transactions on the blockchain.

 The validation of the record depends on solving calculations provided by the networks, such as a riddle. Once solved, a new block of transactions is added to the blockchain. Bitcoin mining aims to maintain the integrity and security of the transactions, as it validates the transactions and registers them on the blockchain.

 It is virtually impossible to profit from mining on the bitcoin network by the processing power of a personal computer and a few video cards. Thta’s because mining is designed to be a complex process – and the difficulty only increases.

Thus, you need more computing power to invest in mining. Today, mining-specific equipment already exists that makes it virtually impossible to mine any other way.

 How does bitcoin work? 

 The total supply of bitcoin is limited by its software and will never exceed 21 million currencies. This feature of scarcity is what guarantees its appreciation.  

In addition, every four years (on average), bitcoin goes through halving, an event in which the mining reward is cut in half. When this happens, the impact is positive for the appreciation of the currency.

How to invest in bitcoin step by step?

  • Create a virtual wallet at an exchange. It works like a bank account and makes all the buying, selling, and storage transactions possible;
  • It will be necessary to confirm some personal data, create a login and an authentication key (double-checking system), which guarantees security; 
  • Transfer the amount in real that you intend to invest (or, depending on the broker, in another crypto-asset) to your wallet
  • Follow the currency exchange rate to choose the best time to buy.

How is bitcoin quoted?

The bitcoin quote is very similar to the price formation of a commodity, and the price rises or falls according to selling demand and buying demand.

Several factors can cause the price of bitcoin to rise, such as institutional adoption, hype, supply shortages, and loss of confidence in fiat currencies (inflation). It makes more people seek out crypto-assets, causing their prices to rise. On the other hand, restrictive regulation can make the price falls.

And where is the bitcoin price set? In the exchanges, where it is bought and sold. Thus, the bitcoin price is the last traded value. And there are no limits on days and times for trading crypto assets. In other words, there are updated quotes at all times, 24 hours a day, seven days a week.

How to track bitcoin quotes?

In effect, there is no single price of bitcoin. The price shown in some services, such as Coinmarketcap is a weighted average of the price on major exchanges in the market. Thus, there may be slight price differences between exchanges, allowing prices to be arbitrated between them. 

There are services like Coin Trade Monitor that show what these arbitrage opportunities are and robots that also do this work. Using these data, someone can buy cryptocurrencies on one exchange and sell them more expensive on another, getting profit.

Check out the analysis of previous weeks

Bitcoin price: time is ideal for short trades, with quick entries and exits (05/05/2022)

Bitcoin remains with low volatility (29/04/2022)

Bitcoin may retreat to US$ 37.5 thousand, creating a buying opportunity (22/04/2022)

Despite the volatility, bitcoin maintained a stabilization behavior during the quarter (14/04/2022)

Bitcoin’s lateralization can make room for altcoins (07/04/2022)

Bitcoin: investors get confident again (31/03/2022)

Bitcoin price: bullish movement is gaining momentum (24/03/2022)

If bitcoin exceeds US$ 42,700, the short-term outlook is bullish (17/03/2022)

Bitcoin volatility: investors protect themselves with stablecoins (10/03/2022)

Bitcoin: instability moment can bring good opportunities, says Transfero (04/03/2022)

The Russian invasion of Ukraine intensified the bitcoin fall (24/02/2022)

Bitcoin appreciation slows, which may indicate a new fall (17/02/2022)

Bitcoin recovers, and next target is US$ 47,000 (10/02/2022)

Bitcoin continues in a downtrend (03/02/2022)

Bitcoin price falling: learn about what’s happening (27/01/2022)

According to Transfero, bitcoin is in a period of accumulation (20/01/22)

Bitcoin recovers and volatility decreases, but the moment still requires caution (13/01/2022)

Bitcoin: downtrend may be a good buying opportunity (06/01/2022)

In 2021, bitcoin has strengthened, reached an all-time high and the market comes close to surpassing the silver (17/12/2021)

Loss of bitcoin dominance may result in an opportunity to buy altcoins (10/12/2021)

Bitcoin may resume uptrend, Transfero points out (03/12/2021)

Bitcoin is losing market dominance (26/11/2021)

While bitcoin suffers from short-term fixes, altcoins stand out (19/11/2021)

Corrections are buying opportunities with bitcoin as the spotlight (12/11/2021)

Moonvember: outlook is of altcoins appreciation (05/11/2021)

According to Transfero, bitcoin correction was expected (29/10/2021)

In record week, bitcoin is the spotlight (22/10/2021)

Bitcoin continues to rise and can surpass silver (15/10/2021)

“UPtober”: optimism takes over the crypto market (08/10/2021)

Bitcoin price: for Transfero, currency maintains an uptrend (01/10/2021)

Transfero Research: Evergrande crisis undermines expectations and bitcoin price(24/09/2021)

Bitcoin price: market remains optimistic (17/09/2021)

Bitcoin correction reflects sales movement, a necessary condition for appreciation (10/09/2021)

Bitcoin price: uptrend is confirmed and currency expected to stay above US$ 50,000  (03/09/2021)

Bitcoin maintains upward trend, assesses Transfero (26/08/2021)

Bitcoin price reinforces upward trend and market reaches May level (08/19/2021)

Bitcoin has a week of highs and confirms a positive trend (13/08/2021)

Bitcoin price: upward trend, suggests Transfero analyst (05/08/2021)

After staying below US$ 30,000 the bitcoin price rose again reversed the downtrend; see the Transfero assessment (29/07/2021)

Bitcoin adjustment was expected, and currency should stay at around US$ 30,000 (23/07/2021)