Bitcoin price has surged to $250 and 1600 CNY in what can only be described as magnificent price action. No other market instrument can do this and it is a unexpected reminder of the speculative potential in Bitcoin!
From the analysis pages of xbt.social, earlier today:
Price could achieve the red daily 200MA that has eluded it for months within the coming hours and then a pullback should be expected from $260 / $270. If the current surge was the wave top then we may see price retrace most of the spike to the upside. The depth of the correction will give clues to the next destination of price.
The most likely scenario, going forward, is that (following a pullback) price continues to the highs of earlier this year near $300 and $320.
Alternatively, this may be the first wave of a series of surges and deep pullbacks that successively work their way higher in the chart – toward $300. However, this behavior is not characteristic of Bitcoin’s chart movement, ‘though it would fit with the price patterns of this year so far.
On a more sombre note: a Bitcoin hard-fork is scheduled for next week and readers are directed to Mike Hearn’s responses to direct challenges questioning his and Gavin Andresen’s intended action of forking Bitcoin to a blockchain with larger blocks and rebranded as “Bitcoin XT”:
And a measured response by the original challenger, Adam Back:
Not everything that counts can be counted, and not everything that can be counted counts. – Albert Einstein
zaenal makes a debut in the leaderboard and enters at No. 1. Well done, and good show of steel to have held your long position despite the growing risk of reversal. Aidu debuts at No. 2 and SVG in 3rd place.
Many of the regular names had retreated to BTC cash positions, or turned short, when price hesitated near $242 prior to the last surge. Never a dull moment in the Bitcoin market, except for the past two weeks, eh?
Bitcoin speculators expended some elbow grease during the start of this week and the result blew off to $250 and 1600 CNY in the charts. The prospect of the start of a larger advance was driven home by the final 10 minute surge from $242 and we now watch price for a possible continuation to $260-$270 or a deeper correction from where another advancing wave should unfold. Good to see Bitcoin delivering on its speculative potential again.
Bitfinex orderbook depth and Buy/Sell Volume:
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The writer trades Bitcoin. Trade and Investment is risky. CCN accepts no liability for losses incurred as a result of anything written in this Bitcoin price analysis report.
Bitcoin price charts from TradingView.
Last modified: July 12, 2015 19:20 UTC