We’re finishing this week virtually at the same stance as two days ago, with the price of Bitcoinrelatively unchanged, despite buyer pressure on the market. Just like we predicted on Wednesday, the $735 support was strong enough to make the bear run less severe, with only one short instant of the price dipping below this point. But with the weekend trading up ahead, the real question is whether the support will keep holding.
News-wise, things have been quiet as well, with little to report on in any Bitcoin sphere. The only interesting news that the past two days brought was that now Japanese Bitcoin users can insure themselves against hack damage, thanks to insurance company Mitsui Sumitomo, as reported by Nikkei.com.
The company, in cooperation with Japanese exchange bitFlyer, will offer insurance to both Bitcoin users and exchanges in Japan with a coverage of ¥10 million – 1 billion to cover any damage caused by cyber criminals or human errors. The company will also be covering exchanges for any costs that stem from handling hack attacks.
Market in a Standstill
For the time being, there are little signs of another price boost, as the trading market remains fairly quiet with equal pressure coming from both sides. It has been like this for the past 48 hours, during which the price remained close to $735. The lowest point was hit early this morning, when the value dropped down to $730.76, while the highest point of $742.55 was yesterday morning.
The loss of volume we saw after the Wednesday market run is still visible, with little changes during the past 48 hours. Currently, the volume sits at $88,488,300, while the market cap is at $11.8 billion. Given that the Thanksgiving holidays are upon us, the market break that the weekend will likely bring stops any hopes of a sudden price push upwards.
Our technical analysis strengthens this projection, as the overall market signal is neutral. Out of 12 moving averages, half are pro-sell and half pro-buy, while only 4 oscillators are in the sell zone. The upper range is where there’s least resistance, as the SMA100-200 gap shows, but the difference is narrowing, so anything is in play.
For the time being, the price seems to be consolidating further around $735, with the next push being up to change in trends. If sellers overflow the market, a drop below $730 will be in order, or a push up to $750, if the winds change.
Is India Helping Bitcoin Price?
Despite a change in trading winds, the price of Bitcoin has remained fairly resistant, which many believe to be the direct result of increased interests from large global markets. Apart from Asia, the biggest contributor is seen to be India, where current and pending government decisions have forced many to start investing in Bitcoins.
After announcing to demonetize 500 and 1,000 rupee notes, there has been plenty of talk about the Indian government looking to ban the import of gold. The main reason for this idea was due to the increased interest in gold, which many investors see as a safe haven against currency instability. And now that gold prices have surged and an import ban is in the prospects, Bitcoin is the next most stable asset.
This interest can be visible on multiple fronts, from the currency exchanges and online activity to land-based events created to pave the way. In fact, past events and spike in interest have even lead to the first ever Bitcoin summit in India, scheduled for this December 6th.