By: Ben Myers

BTC/USD on the hourly charts broke below the triangle support line in a volatile trading session yesterday. BTC/USD tried breaking above the resistance zone within the triangle but found considerable amount of selling pressure at higher levels. It is currently seeking support at the $572.12 level that is the last hope for bulls. BTC/USD is facing stiff resistance at $583.43, a level which has seen selling pressure emerge whenever it tried to cross that level in yesterday’s trading session. The MACD for the BTC/USD is currently in bearish territory and showing no signs of a reversal. Therefore, it becomes imperative for traders to keep a close eye on the support zone of $572.12, which if breaks, can take the BTC/USD to a new low level of $560 in the near term similar to the MACD, the relative strength index is showing no signs of inherent strength.

Traders should go short on the BTC/USD if it breaks $572.12 with a stop loss of $585 and for a potential target of $560. Long positions should be initiated only above $585 with stoploss at $570 for target of $600.

Other fundamental developments which will have impact on Bitcoin trading would be the release of draft regulations governing Bitcoin in New York State; the virtual currency supporters have parted ways in terms of their ideology over the proposed regulations. Mainly small start-ups are concerned that the regulations will crush their businesses but others think that the laws could revolutionize the cryptocurrency space. In the meanwhile, some of the Bitcoin supporters are about to send an open letter to Benjamin M. Lawsky, the New York State's highest financial regulator, requesting him to extend the time for submitting comments on the draft regulations.

In a separate development, Romania is proving to be the ‘New China’ for Bitcoin as Europe's poorest country adopts the usage of virtual currency at a rapid pace. The region already boasts of a Bitcoin ATM in its capital Bucharest now, while it is a home to the first Bitcoin exchange as well. The interesting factor is that the Bitcoin exchange holds a record of adding over 2,000 new clients within a short time of seven months. With the growing craze of Bitcoin, traders and clients agree that a form of legislation will be helpful.

BTCUSD 73014

Finally, Dutch based easy Hotel Franchise has said that it will accept bitcoins as payment for hotel bookings made at any of their hotels in Holland. The move marks set yet another example as how travel industry is fast embracing bitcoin. Recently, Expedia had started accepting Bitcoin payments for hotel reservations.

Related Articles
  1. Economics

    Surpassing the World's Toughest Border: China's Great Firewall

    Learn how Baidu and CloudFlare's agreement to work together has tackled China's digital firewall, and how the partnership improves Internet access in China.
  2. Entrepreneurship

    Creating a Risk Management Plan for Your Small Business

    Learn how a complete risk management plan can minimize or eliminate your financial exposure through insurance and prevention solutions.
  3. Retirement

    Retirement Tips for Doctors

    Learn five tips that can help physicians get back on schedule in terms of making financial preparations they need to retire.
  4. Professionals

    Top Tips for Improving Client Communications

    Effective communication with your clients is the lifeblood of your financial advisory business. If you've struggled in this area, pay heed to these tips.
  5. Economics

    Virtual Joint Venture: A New Model For US Businesses to Enter China?

    Learn about virtual joint ventures and how these agreements may promote the entrance of American companies into China's vast markets.
  6. Stock Analysis

    Allstate: How Being Boring Earns it Billions (ALL)

    A summary of what Allstate Insurance sells and whom it sells it to including recent mergers and acquisitions that have helped boost its bottom line.
  7. Investing Basics

    Do You Need More Than One Financial Advisor?

    Using more than one financial advisor for money management has its pros and cons.
  8. Mutual Funds & ETFs

    Top Schwab Funds for Retirement

    These Schwab funds are strategically designed and have performed well on a historical basis, meaning they're solid options for retirement.
  9. Investing Basics

    3 Business Tips from Restaurant Reality Shows

    The reality TV shows "Restaurant Impossible" and "Kitchen Disasters" offer lessons not just for restaurateurs, but for all business owners.
  10. Investing News

    Silicon Valley Startups Fly into Space

    Space enthusiasts are in for an exciting time as Silicon Valley startups take on the lucrative but expensive final frontier.
  1. Is Chile a developed country?

    As of 2015, Chile is the only country in Latin America that is generally recognized as a developed country. In 2010, the ... Read Full Answer >>
  2. What exactly is the Wall Street Journal prime rate?

    As globalization continues to force businesses to streamline their operations to ensure their long-term competitive positions, ... Read Full Answer >>
  3. Are catch-up contributions included in the 415 limit?

    Unlike regular employee deferrals, catch-up contributions are not included in the 415 limit. While there is an annual limit ... Read Full Answer >>
  4. Can catch-up contributions be matched?

    Depending on the terms of your plan, catch-up contributions you make to 401(k)s or other qualified retirement savings plans ... Read Full Answer >>
  5. Is Australia a developed country?

    Australia is one of the most developed countries in the world. The nation's per capita gross domestic product (GDP), one ... Read Full Answer >>
  6. Is Nigeria a developed country?

    Nigeria is not a developed country by any reasonable standard. The country's per capita gross domestic product (GDP) is much ... Read Full Answer >>

You May Also Like

Trading Center