There is a small resistance at $350, but it probably won't hold.

BTC is heading to $340

Since the start of this thread I had Dec 18th as a day to confirm action. (Pink vertical line)

Well, that day is today and it's turning to be a sell off day. With Bitcoin prices plunging to prices below the support at $369.

If the day closes in prices below that level, the mid term trending line (red line) will be broken and we can consider buying when bitcoin goes to lower prices in the next day or so.

The next support (strong support) is the fib line at 0.764 ($340). I would watch this closely and consider buying at this level is there is any confirmation of a bounce.

The final support/trend line is the blue line also in the original post, which bring Bitcoin prices to around the $320s. Which is where I would definitely place a buy order.

Lastly, the day chart shows a down trend but the weekly chart is still signaling an uptrend. This may be a small storm to man through.

Interested to see what you come up with

Hi Calchuchesta, Yes, indeed the price is to volatile. And makes it hard to apply TA to make any type of predictions. But anything that is traded using computers is bound to follow some type of algorithm and the rules of any market.

So how can one apply TA to Bitcoin?  Well, the same could be said about half the stocks traded in the market and most of the OTC stocks. It is all about having a long term view, knowledge about current state of the market, and then applying TA to find trends. Believe me, they all have them and they all follow them.

Ultimately, trading in the market or crypto is a bet. If one had to participate, at least one must make an intelligent one.

Since I started the trend I predicted the bounce to $400s, which was shy of it at around $380. I also mentioned that the coin was going to experience a sell off, which it did. All based on MACD and Stochastic.

As I said before, news triumph over any TA. And manipulation exists on any market including bitcoin (just look at what the alter coins where doing from December 2013 to March 2014.) Pump and dumps were rampant.  so one has to be very careful.

I hope OP is right!

I have been watching Bitcoin price for a while and lately I have seen some trends that also call for a rally.

But like in all markets, news kill trees or analysis... News is King.

Let's keep watch!

As I said on December 3rd, people took profits driving the price of Bitcoin lower.

The sell off has been short lived but was strong enough to put a down pressure on the coin that now should trail a little lower.

But the great thing is that the support line I drew on Dec 1st is still holding and it seems to be very strong. If this line does not break we should be in great shape for now. (Pink dotted line to $369)

So no time to panic for the trader, and nothing to worry for the investor...

... Everyone thinks they deserve an apology for something.. man relax, you don't have to post or follow this thread.

And my concern yesterday was confirmed... People took profits here pushing Bitcoin's price down.

My Pink Line, the first support is still intact. so that's a positive. Also, the Red line trend is still intact but may break tomorrow.

Thanks Bagatell, DMI is positive but trending down which mas cause some down pressure

We need to close above the 50 day moving average. I guess will find out soon.

Confirmation today on MACD, Stochiastics about to cross over, and RSI is about the right place for a good rally. Bitcoin has conquered the 50 moving average! But this is only one day battle.

My only concern is that people may start to take profits here. Since I started the post at $358, one could have gain anywhere from 6% to 8%.

But Bitcoin is due for a rally. Specially with all the global uncertainty.

Business Insider




Read more: http://www.businessinsider.com/how-bitcoin-could-change-everything-not-just-finance-2014-12#ixzz3KkANKMnD

Looking really good here at $380...Half a day to go

Watching a pretty cool battle fought right now to conquer a position above the 100 moving day average!

This is No Man's Land right now

Go Bitcoin!

An yes, to answer OP's original question and the main topic:

Yes, Bitcoin is too volatile to be used as currency. Shit, not even the Russian Ruble behaves like this.

To OP,

What you are thinking to do has a name... Arbitrage. Everyone please rush to Google and search this word!

All of the exchanges around the world were used efficiently to profit on arbitrage. When arbitrage was gone so were a lot to bitcoin traders leaving you holding expensive coins.

A US Dollar crash? You mean a come back to reality, right? Because USD is so strong now that a 10% drop would be consider a crash now, but would be a return to this year's early prices.

To gain on Forex (another word you guys may want to Google), you would need to buy a currency that has been beaten. The Yen is one, the Ruble is another... The Euro is down but not greatly.


That said, I would hold to any Bitcoin you have. But would buy Yen or Ruble if you feel like you want to go Forex while the USD is super strong.

Wow you are really clueless...

But glad you are skeptical. We all need to be.

Good thing that I am trying to prove a point with actual data and charts... not just whatever comes out of my ass based on mood of the day like many other here.

if technical analysis could tell us the future then everyone with a half brain would be rich.

In Bitcoin as in with Stocks and Market, TA helps us understand the trends based on actual historical data. Believe me, I make money on the stock market this way and so does a lot of people. So please don't discredit the work.

But you are absolutely right. Although what you call for are events that have nothing to do with the organic growth of Bitcoin.

Stocks have those too. Look at Sand Disk stock after Earning Report in July, Kors in July too... The stocks dropped like shit after earnings releases. Those are events that cannot be predicted (unless you are an insider or have gain to insider data.)

But every time TA tells you when to go in, and when o sell. Why? Because everyone uses about the same tools. So a lie multiplied by millions becomes the truth.

Thanks for the comments as it helps the discussion. I will be updating.

An update:

The Key price to watch this week is $369. And a +/- 3% range from that price.

MACD weekly confirmed an up trend. Stochastic supports that movement and RSI is heading slowly into a more healthy area above over sold conditions.

With a decent volume Bitcoin can see a good rally here for investors. I would buy right here if you were planning on buying anyways. If you are in the need of cash and needs to sell, I would just give it a week for a good price point.

ON a long term view, Bitcoin can still rally if it stays above the lower blue line, and should rally if it goes above the green line.

I guess you didn't understand the question. But before I ask again, I'll clarify a few things. Of course Bitcoin is trades and found in various fiats. [insert Jackie Chan meme here] And everything you said was spot on too.

I was opening up to discuss Arbitrage. Which is something that people need to understand to gain on Bitcoin's volatility.

Who would value transactions?

I think there is value in showing transactions... if we can think of a system or entity that would value transactions then maybe OP has a good point.

There is a nice trend in the last few days that has cerated a line of support (RED line below).

This may signal the up trend that I described above. My guess is that the chances of heading to $440 are bigger than falling.

Again, we still need MACD confirmation on the weekly.