BTC Update Monday 26th August. Bitcoin on the Climb...

In our last post we called a reversal at 'around $117'. In the event the market never fell lower than $118; we'll chalk that up as a good call...!

Here's how it looks on a chart:

Following this reversal the market is again reaching back up for the recent high at $125 but for the moment at least volumes are muted, which suggests that either we will not make it all the way or succeed in punching through if we do.  Unless upside energy picks up soon we might well find ourselves entering an extended consolidation pattern.

With this in mind, those active traders who managed to get in at $118 should be fine to hold onto your trade for the time being but for those who didn't, you'd be better off sitting on your hands for the moment as you may well get another chance at these levels later in the week.  Indeed, if bitcoin falls away from a point below the last high we would be looking slightly lower again for the next turn point, against or just through the green rising support line.

In the meantime those of you needing to convert back to fiat in the immediate term should consider placing a sell limit order at $124 or, at least, monitoring price action at around $125 for signs of a reversal.

In the event that the market does manage to push through resistance on this attempt, the next stopping off point looks to be around $130.

That's all for now.  Trust all had a good weekend.  It's over now so let's get back to it!

Rob @ BitScan