CommoditiesTrader

BTCUSD Bounce Likely, Downside Still Projected

BITSTAMP:BTCUSD   Bitcoin / U.S. Dollar
BTCUSD is down nearly 82 percent since its bubble-top in November 2013. Can anyone really fault the decent, being that we are talking about bitcoins relative to the dollar with the dollar index at decade highs?

We've see a SHARP move in negative volume , which is typically followed buy quick buying ( BTC is seeing that now). The move could challenge $280 BTCUSD , but this would likely be a selling point.

There is no need to fight sentiment because, well, we've seen that play out in the crude markets. The moves are also largely based on headline risk based on the technology that surrounds bitcoin . We've seen Bitstamp loose nearly $5 million in BTC due to hacking. Although they made clients whole, the continued vagueness around security measures is what is leading the crypto-currency lower.

The idea behind bitcoin is valid, and the technology behind it could change commerce. But, the serious buyers probable won't buy large until security flaws are hacked out.

Personally, BTCUSD looks promising if $150, maybe $100 is reached. If the dollar retreats, we can also see some upside.