The breakout we have been waiting for has occurred. Bitcoin spiked today to an all time new high in huge volume! The digital currency is now training sideways with a floor of about $3100 and a ceiling of over $3300. There is plenty of room for even new highs in the days to come as the news all seems positive.
Bitcoin Cash is conversely taking it in the shorts. Trading sideways at $220 after experiencing a high of $280.
Bitcoin is certainly holding its own after the much reported fork. one indicators are pointing toward a slight pullback in overall light volume at this time. Fortunately the 100 day Simple Moving Average (SMA) is still above the 200 day SMA so this is still a bullish sign.
Should the bears step in and start selling, the foreseeable floor should be around $2500 per share.
While the split (fork) in bitcoin did not cause the end of the cryptocurrency as we know it, it has seemed to spook investors in the currency a bit as many are standing on the sidelines to see exactly how stable the markets are.
It would certainly appear that another factor is many investors looking at the health of the US dollar. The government is about to report the Non-Farm Payroll Report (NFP) for July 2017. The non-farm payroll (NFP) report is a key economic indicator for the United States. It is intended to represent the total number of paid workers in the U.S. minus farm employees, government employees, private household employees and employees of nonprofit organizations.
Happy trading everyone!