Rate cut, ECB makes up for the decline of the euro in dollars, what is the impact on the bitcoin price. – Breaking News

In the wake of the FEDERAL reserve, now that the European Central Bank (ECB) to cut interest rates. That is announced by the ECB president, Mario Draghi, on Thursday the 12th of september. During the press conference, it fell to the value of the euro in u.s. dollars. But the decision also affects the bitcoin price?
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ECB lowers the deposit interest rate, exchange rate euro to react immediately

Get started today with the bitcoin price, but with the exchange rate of the euro vis-à-vis the us dollar. But don’t worry, we’re going to go back to bitcoin!
On Thursday at around quarter to two, it announced that Mario Draghi, the deposit interest rate, a reduction of-0.4 percent to-0.5 percent of the time. That is, it is in the interest of the European banks have to pay money to park at the european central bank. Since June 2014, this rate is negative, but the rate has never been lower than it has been as it is now.

In addition, the ECB will continue with its policy of quantitative easing. This means that the central bank’s bonds to buy from the government as well as multinational companies. So far, the ECB has already provided for the 2,600 billion euros of bonds sold.
Exactly during that announcement, the euro was worth less in u.s. dollars. A decrease of more than 0.7% may seem low, but in the foreign exchange market is that it is a huge move. That means that you will see on the chart below. The graphic is too far zoomed in, each candle represents one minute:

And yes, with such a notice, it may, of course, you can expect a response from Donald Trump. On Twitter, he immediately complained about the measures taken by Mario Draghi:

Bitcoin exchange rate yesterday, has actually increased

True, the euro has been falling, rises bitcoin. And, as bitcoin can expect to make in the direction of greater movement than the euro or the us dollar. At the time of the announcement, up to the peak around nine o’clock at night, it is the value of a bitcoin in euros, with close to a 2.5 per cent increase.

Decision of ECB has an effect on the bitcoin price

In order to understand the impact of the decision taken by the ECB, we have two graphs to be merged. In orange, you’ll see the price of bitcoin in relation to the euro. Below that, in blue, with the exchange rate of the euro vis-à-vis the us dollar.
In the press conference, Mario Draghi, gave the go-ahead to the increase of the bitcoin price on Thursday. What’s the difference? As the ECB continues to buy bonds, there will be more money in the economy, which is not a savings account is put on hold. There must be a return will be achieved. This is the money that flows to other types of assets, including bitcoin. There are, of course, also be other factors involved, but the direct effects here are obvious:

Falling wedge and gave a little push

Anyway, let’s get back to the price of the bitcoin! This past Tuesday, we started talking about the falling wedge. This is a koersformatie in a lot of cases, it will lead to an increase in the price. With a falling wedge that makes the price lower and lower peaks, but at a lower level of soil. The trend lines on both the top and the bottom sides move closer to each other.
Break down the price of the upper trend line? The falling wedge is confirmed and we can make a further increase is expected. On the 11th of september, the bitcoin exchange rate from this formation is not broken, but it is the decision of the ECB gave the race an extra boost.
In addition to the falling wedge, we can see that negative divergence has also played a role in the growth of bitcoin. A negative difference means that the bitcoin price to the lower bottoms make. But the indicator makes higher bottoms. Below is the RSI, shown at the bottom of that page. When this happens, it is usually a good sign of a growth in the share price.
Both the falling wedge and negative divergence that has played along with the rise in the past week:

Is Bakkt will also make a positive impact on the share price?

What is the price of bitcoin go? That is, it is just a matter of waiting! It rises in the direction towards the top of the triangle, which we have all week to discuss it, then we can have a value of 9.850 euro is expected. The base of the triangle is now of the order of 8,500 euros.
However, the price of bitcoin does not only depend on technical analysis. Also, the developments in the global economy and the politics have an effect on the market price. And you also have to think about the latest developments in the cryptolandschap.
Bakkt launch, for example, on the 23rd of september. With Bakkt, you can you can bitcoin-futures buying. By using futures to bet on price appreciation or decline. What is new is that these contracts are concluded in dollars, but it is with bitcoin. On Twitter, everyone is very excited about the Bakkt, and the potential impact on the stock price.
The are, however, exciting times lie ahead. Keep an eye on this page in order to read up on the bitcoin price.

About the author

Jeremiah Faber

Jeremiah Faber

Jeremiah is an explorer by heart – both in the physical and the digital realm. A traveler, Jeremiah continues to visit new places throughout the year in the physical world, while in the digital realm has been instrumental in a number of Kickstarter projects. Technology attracts Jeremiah and through his business acumen has gained financial profits as well as fame in his business niche.