Monday, 15 July 2013

BTC Update Tuesday 16th July

Bitcoin tried to break out during European trading yesterday but advances were capped at around $100.

Here's the chart:

Movement over the last 24 hrs doesn't tell us too much beyond the fact that the Market is consolidating.

What we can see is that new buyers are coming in to support the market at higher and higher prices which supports a continuation of the recent upswing.  While we cannot say is when this will trigger, we see nothing to suggest that it won't but remain alive to the fact that it is likely to be triggered from an opposite extreme.

While we  noted yesterday, that there remains a chance that confidence will leak away if a further bull swing is not seen within the next 24 hours, we feel it is more likely that the market will re-establish itself in a $20 range centered on $100 and as we said yesterday, our current bullish bias will stand until/unless this market trades back through $85 on real power.  Indeed, this level could turn out to be the extreme that will trigger the next bull leg.

With this in mind we would continue to advise buying bitcoin anywhere down to $85.

For holders needing to liquidate to fiat, $104 is a good bet if you are really desperate but $112 remains do'able within our range prognosis.

For a more complete understanding of the market action that has carried us to this point just access the archive at http://www.bitscan.co