Bitcoin analysis. Trip to the Moon has not occurred
What brought last week
Today we start the bitcoin analysis again traditionally by looking back at the past week. After the conquest of dimension of $ 450, about every speculator was thinking its just from dream world, there was a profit withdraw and a gradual decline to the current level. These crazy trips into the stratosphere are often, in my opinion, due to the fact that a lot of enthusiasts are expected bitcoin generous Christmas this year as well as last year, and so at any sign of growth to jump on trolleys, run over in a desperate attempt to buy more for cheap price. However, I think that bitcoin dont have such potential yet. The fall was therefore more or less expected and it was just a matter of how FAR.
The market lacks buyers
Even I was too optimistic and I bought supplies at prices around 380 USD, taking the view that further progress will be interrupted by a red cross and blotted out the arrow indicated on the chart below. Instead, price decreases, and its development is characterized by a specific random dump (dump = sale at dumped prices), which always move the price down and then to a new level, for a long time nothing happens, except exchange cent among small traders. Currently the market lacks buyers. And no wonder, those who had money and rolled them in much less favorable terms. Example 13.11 changed owner only on Bitstamp something around 50,000 Bitcoin at an average price of $ 426. Future intentions of the new owners is hard to estimate. It is expected that with the gradual decline in prices will gravitate towards the realization of losses to protect themselves from even greater losses, or to avoid a “margin call” (linkage traders who buy the loan), it means that they will further promote sales. The others perhaps waiting for the right price for the dilution of its loss-making position. This level offers around $ 340.
Bitcoin analysis November 2014
The bitcoin analysis shows a lot this time. Circled section are tufts, which are located on the so-called retracement level. These are levels that speculators likes, especially the level of 38.2% and 61.8%. Why this numbers? This is a long explanation, but it has to do with the golden chain (more on Wikipedia). For some reason, a lot of traders expected turnover here and therefore on these levels places its orders. Note the accuracy with which the tufts are located. The current price (at time of writing analyzes of $ 355) corresponds to 38.2% between the minimum and maximum current range (hiking up to $ 450 does not count, it is an anomaly). Therefore, I believe that the next few days we will move to the first levels indicated by open circles on the right. Price could also just head for 340 dollars, which is also a more popular level, how demonstrate the past and where he also leads to closure of declining triangle, limiting the top and bottom downward formation. There can expect resolving of the current situation and there could be reflect into the higher realms. If it ends up on the moon, it’s hard to say …. rather not, again, I saw it on the bleeding stratosphere.