Bitcoin Price Analysis 17 March

Posted by: pesa_mic

March 17, 2015

Is Bitcoin’s price in a major reversal?

Since price broke out from $232 on February 27, market expectations have been bullish. The price is still above the 10, 20, 30 and 50 Day Exponential moving averages (EMA). Short term EMAs are above long term EMAs, which bodes well for higher short term price prospects. Any change in market direction will first be reflected on short term indicators. So far, the market’s short term indicators are ripe for short term rally.

Bitcoin Fundamentals

At the SXSW conference this week, bitcoin was a focal theme, represented by the WinkleVoss twins who were scheduled to speak for an hour. Gemini, a widely anticipated US regulated Bitcoin exchange, is the brainchild of Cameron and Tyler Winklevoss. Gemini exchange is expected to be the first fully regulated exchange on US soil in addition to linkages with US banking infrastructure. Speaking at the SXSW Bitcoin Q & A session, Cameron was quoted

“2015 is the year of Bitcoin infrastructure. We are resolved on setting up a fully compliant bitcoin exchange; with a US bank involved, no money will cross borders.”

In addition to Gemini, they are also planning an ETF with a ticker symbol COIN. It is expected to be available to all investors on NASDAQ as an indirect exposure to bitcoin.

Finally, Overstock reportedly acquired 24.9% of a registered broker – dealer at a price of $250,000. These revelations were unearthed from Overstock’s 10-K annual report filing on March 12th; the broker-dealer’s name was noticeably withheld. CEO Patrick Byrne, has regularly voiced his intentions of developing a democratized marketplace for cryptocurrencies and digital assets. As per SEC filings, Overstock is looking to “develop and license software to trade crypto securities using the Bitcoin network and its protocols.”

Bitcoin Price forecast

So what should we expect from the market this week?

The market looks promising; a slow gentle rise in the short term seems likely. A sustained break above $300 will head up to test the long term descending trend line at around $315 – $340. How the market responds to this upper resistance will be telling of whether we are out of the long term bear market for good.

Since the dip in price to $ 282, price has gradually come up to previous levels; a sudden break from $ 284 to current levels at $292 points to a retest of resistance at $303.

Updated: 2015-03-17