Bitcoin Trading Analysis (BTC/USD) - 6th Nov 2017 [10.00 UTC]
Bitcoin Analysis
It looks like we are entering a phase of uncertainty with Bitcoin. Especially with the pending Hardfork looming. That's not to say it may not explode once again, but the last few days we've seen on the charts a real point of indecision. $7500 broke, but it couldn't maintain the momentum and desire needed to continue. As a result, we ended up with a retracement, nothing huge, but given that on the daily charts all we have seen is full bullish bar, after full bull bar. To now see a candle with an open and close very close to one another, but a lot of movement within it, suggests a lot of uncertainty. Further more, on the 4 hour, we have a more detailed story. Again, uncertainty and points of retracement.
Daily BTC/USD
Could we be leading into a point of consolidation, whilst those holding Bitcoin decide what to do next. More so with more and more with conflicting support from the institutions, some developing their own cryptocurrency, others being quite damming of Bitcoin, suggesting it was like the Tulip markets in 1636 - this is from the UBS chief economist! Remember the markets are a reflection of trader/investor psychology, fear and greed. At the moment, there is perhaps a hint of fear in the Bitcoin market.
4 Hour BTC/USD
What we are likely to see then is more consolidation [see 4 hour chart for ranges], as things temper down for Bitcoin. The closer we get to that hardfork, and the fact we now see the bull run settle, could mean that the fever has died down a little and a more sensible, measured view is being taken.
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