As for Bitcoin, there is still no clear fundamental story as to the recent movement of Bitcoin however media mentioned that a possible reason about the recent drop is that, since yesterday, Coinbase exchange platform is also offering Bitcoin cash to potential investors. On other news Indian authorities are weighing how to regulate cryptocurrencies and in general the international stand as presented in the press recently for Bitcoin, seems to split into roughly three categories:
o The ones that embrace it such as Japan and North Korea,
o The ones which still seem uncertain such as the US and UK,
o The ones which issue warnings such as the Europeans and Singapore recently did.
In the meanwhile Bitcoin dropped somewhat yesterday, breaking the 15580 dollar support zone briefly only to regain any losses and continue to trade below the 17000 resistance level and above the aforementioned support level. It should be noted that the cryptocurrency rose above the 200 hour moving average but not above the 100 hour moving average. Should the bears take the driver’s seat bitcoin could break the 15580 support level again and aim for the 14000 support zone. Should the bulls take the reins again the pair could break the 17000 resistance level and aim for the 19500 resistance territory.
BITCOIN ON THE RISE AGAIN
On Friday Bitcoin broke the 17000 US Dollars barrier and reached a new all time high during today’s Asian morning. Despite arguments that there is no clear fundamental reasoning, most analysts tend to agree that the anticipation of the CME Bitcoin futures market opening on Sunday pushed the crypto currency higher on Friday and was the driver of any value increase during today’s Asian morning. As mentioned in previous analysis, the accommodation of Bitcoin by Cboe and CME could signal a possible entering of large institutional investors. Among the arguments for and against bitcoin, Deutsche Bank’s Chief Economist Peter Hooper stated that “it is here to stay” however the bigger it becomes the more regulatory interest it will attract. Bitcoin rose on Friday to break the 17000 and continued to rise during the Asian morning finding resistance at 19123, just before the 19500 resistance level. Should the crypto currency continue to rise it could break the aforementioned resistance line and aim for the 21000 resistance zone. On the other hand should the bears take the driver’s seat it could break the 17000 support hurdle and aim for the 15580 support level.
US BECOMING CONFIDENT ABOUT TAX OVERHAUL
Media reports suggested that Republicans are quite confident that the planned tax reform will be voted into a law. Confidence rose after key dis-sentient Republican Senators issued positive statements about voting the tax reform. Republican Party officials stated that the vote could take place as soon as tomorrow, Tuesday and be signed by president Trump by Friday. USD/JPY rose during the European day and continued to trade in a sideways manner between the 112.00 support line and the 113.15 resistance level. Should there be favorable reports about the US tax reform the pair could break the 113.15 resistance level and aim for the 113.80 resistance zone. Should the bears take the driver’s seat the pair could break the 112.00 support zone and aim for the 111.70 support level.