Bitcoin’s price trend has continued its upward motion since our last analysis, steadily climbing past the US$800 range. The price value passes a milestone of the highest price average in over three years. Currently, at press time the price per BTC is $810 and charts show little resistance ahead.
Also read: Vinny Lingham: If We Hit 800, We’ll Go Straight to 900
Bitcoin Now Above $800 Per BTC
The 800s are finally here as bitcoin’s fiat value has been teasing towards this range for quite some time. Technical indicators show on both the 100 and 200 SMA that the rally may continue upwards towards the end of 2016. Buying has continued to be feverish with a daily volume of $110,000, and bitcoin’s dominance compared to so called altcoins is nearing 87 percent. Furthermore, the digital currency is dollars away from commanding a $13 billion market capitalization.
As the climb continues, things could shake up traders as the price rises. Trading for intra-range strategies should prove profitable along the way. However, at these price highs, anything could happen as the charts one-week stochastic patterns reveal buyers may slow down. Yet Fibonacci trend lines indicate the price may easily blow past the $900 range.
Bitcoin in the News
Bitcoin has had lots of positive headlines over the past two weeks. Even mainstream media has been reporting bitcoin’s phenomenal performance this past year. Reuters details bitcoin’s value has been its highest in three years. Meanwhile, the publication Bloomberg writes the digital asset was one of the top performing currencies worldwide and even topped gold. The cryptocurrency has been getting lots of attention due to its bullish price trend.
Also read: Venezuela Prints Bills, Closes Borders – Bitcoin to the Rescue
Furthermore, headlines report certain countries across the globe have been suffering from economic turmoil and some experiencing a cash crisis. Countries like India and Venezuela have reportedly been gravitating towards bitcoin’s benefits. Alongside this, people speculate the devaluation of the Chinese yuan and tighter capital controls in the region is also causing flight towards bitcoin. Many regions worldwide are seeing significant Localbitcoins volume spikes such as Russia, the U.S., and India.
So What’s the Verdict?
Bitcoin has hit some slight resistance in the $810-820 range, but this may not last long. If there’s some correction coming soon, there is a strong floor at the $780 mark. The price may continue towards the $900 level but year-end selling could happen soon and breach upwards trend patterns. Traditionally selling increases during the holiday months to pay for expenses.
Bear Scenario: At press time support looks solid at $780 with nothing significant showing it could go lower than that anytime soon. However, at these price highs, there could be some bear traps along the way that shake out weak hands. The stochastic indicator details the price per BTC may be overbought.
Bull Scenario: The price per BTC has consolidated slightly above the $800 range. Buying volume has increased quite a bit, and there may be some higher price vantage points ending the year. One-week charts suggest the bullish rally is still steaming forward and the ship will continue sailing! However always note the seas can always get rough along the way.
Disclaimer: Bitcoin price articles are intended for informational purposes only and should not to be considered as trading advice. Neither Bitcoin.com nor the author is responsible for any losses or gains, as the ultimate decision to conduct a trade is made by the reader. Always remember that only those in possession of the private keys are in control of the money.
What do you think about Bitcoin’s current price value at the moment? Let us know in the comments below.
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