Saturday 16 March 2013

Bitcoin Rally Stalls - is it ready for pullback?

So I first covered Bitcoins here bitcoins-strong-rally-has-my-attention.html and it seems like Bitcoin has had a good rally, but is ready for a pullback?

I first covered Bitcoins when it was trading at $35 USD on March 2nd 2013. It seem from there it has rallied to highs of $49.099 on March 6th 2013 . Since those highs it has sold off twice, bouncing off $35. Now remember that Bitcoin is worth about  $400 Million dollars. So now that its trading at these prices with this much capital behind it, bigger players will come in to invest in Bitcoins and control the price. Barring a firesale I believe that Bitcoins will pull back to $35 to make a triple bottom. It would be better to start to pick up an initial lot now at $46 with the bulk of the buying into the high $30s. I believe bitcoin will break out of $50.

Chart from Mtgox.com






Also check out this chart Below. It should the bids and offers on Bitcoins as they are traded on the mtgox exchange. There are alot of offers and the bids only start to get in size around $45.50 Now if I could only start mining for bitcoins.

 
March 16 2013 0320 AM EST









 For further reading check out these articles:

Max Keiser: Is Bitcoin Money? 

http://www.huffingtonpost.com/max-keiser/is-bitcoin-money_b_2849031.html

This one is about Mt.Gox moving the exchange to the US from Japan.

http://venturebeat.com/2013/02/27/bitcoin-record-high-mt-gox-coinlab/

And here is an article about a firm from Malta starting the first Bitcoin Hedge Fund. 2013 Should be interesting for Bitcoin.

http://www.finalternatives.com/node/23100

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