BTC/USD Technical Analysis – 11th March 2014

Analysis provided by Ashton Fraser, learn more about his Forex Reversals trading strategies.

Bitcoin Bitcoin While some may still be wondering what is Bitcoin, who created Bitcoin, or how does Bitcoin work, one thing is certain: Bitcoin has changed the world.No one can remain indifferent to this revolutionary, decentralized, digital asset nor to its blockchain technology.In fact, we’ve gone a long way ever since a Florida resident Laszlo Hanyecz made BTC’s first official commercial transaction with a real company by trading 10,000 Bitcoins for 2 pizzas at his local Papa John’s.One could now argue that While some may still be wondering what is Bitcoin, who created Bitcoin, or how does Bitcoin work, one thing is certain: Bitcoin has changed the world.No one can remain indifferent to this revolutionary, decentralized, digital asset nor to its blockchain technology.In fact, we’ve gone a long way ever since a Florida resident Laszlo Hanyecz made BTC’s first official commercial transaction with a real company by trading 10,000 Bitcoins for 2 pizzas at his local Papa John’s.One could now argue that Read this Term's movement may have slowed down in recent days, but that's not to say we can't apply technicals to the current market. Indeed, they are valid as ever.

Hence, for today's analysis, I'm going to focus on the fifteen minute chart. Take a look at the BTC/USD M15 chart below (click to expand):

I've performed the Fibonacci study from yesterday's high at 640 to yesterday's low at 609.

Now, there's one particular candle which we need to pay attention to, circled in blue, from 21:15 GMT last night. This candle initiated the retrace that has continued on in today. We can see how it's lower wick is very long compared to it's body, and there's virtually no upper wick to speak of. Essentially, this is a hammer candlestick, a classic potential reversal pattern.

At the same time, we had the Stochastics being underbought, and just having crossed upwards (circled in blue). Soon after, both the core Bill William's indicators, i.e. the Accelerator Accelerator An accelerator or startup accelerator is defined as fixed-term programs that look to foster investment, connections, sales, and education to kindle growth in a project.Most commonly this effort constitutes a public pitch event, demos, and other forms of marketing. Startup accelerators are most commonly associated with Silicon Valley, a global hub for investing and fintech.Startup accelerators however are a global phenomenon that privately funded as an investment fund. This nature of investing he An accelerator or startup accelerator is defined as fixed-term programs that look to foster investment, connections, sales, and education to kindle growth in a project.Most commonly this effort constitutes a public pitch event, demos, and other forms of marketing. Startup accelerators are most commonly associated with Silicon Valley, a global hub for investing and fintech.Startup accelerators however are a global phenomenon that privately funded as an investment fund. This nature of investing he Read this Term Oscillator and the Awesome Oscillator turned green, and the retrace was well underway.

Price of course has stalled at a couple of main levels, first at the 50% mark, (circled in white), and most recently, just in the past few minutes it's been struggling at the 61.8% Fib level, at 628, where it's been tested three times already. I don't expect price to surpass this level this afternoon.