During yesterday’s session news of the US Marshall’s auction of 50,000 BTC belonging to Ross Ulbricht, caused the market to abandon the remaining few dollars to a $250 wave conclusion and to start selling into wave C early.
The wave count has been reworked. The distance from $246 (the high of this structure) to $250 (as projected yesterday) is small and in the larger swings of the market it is negligible.
The wave down may be complete, but there are missing wave degrees, so for now, the count expects additional downside to complete wave B or a subwave b of the next wave to the upside. Price may return to strong support at $230. The waves below $240 are not tradeable and we’ll have to wait for trade to push through the resistance and establish price back above $242, at least. If the market is consolidating below resistance then that may take a day or two.
We wait for price to resolve its condition here below $240 and below the longer period MAs. Major Silk Road news generally causes the market to trade down on the news event that is then followed by a relief rally. Advancing above $242 and 1530 CNY will be a sign of sustainable advance. In the meantime, price may consolidate below the strong resistance at $240 and 1500 CNY.
The Bitfinex depth chart shows large orders at $240 and the market may have to try a few times before succeeding in breaking north.
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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.
Last modified: July 12, 2015 12:39 UTC