Bitcoin/US dollar
Bitcoin markets have been quiet over the weekend, as one would expect, bouncing around just above the $10,000 level yet again. There is also the 61.8% Fibonacci retracement level that is offering support, but ultimately, I think what we are going to see is more sideways action than anything else. The market is trying to build a base at the $10,000 handle, but the volume has been very thin. That is something that concerns me for the uptrend, and I think that if we can get a daily close below $10,000, that will bring out a fresh, new flood of selling pressure. The market looks very likely to be quiet though, I don’t see any catalyst to get the movement going. If we break above $13,000, that would be a very bullish sign as it would clear resistance, but I think it’s difficult to trade in large quantities. Short-term back and forth trading is probably the order of the day.
Bitcoin/Japanese yen
Bitcoin has rallied slightly against the Japanese yen over the weekend, but again, volume is very small. I think that the market continues to hover just above the ¥1.1 million level, which is the 61.8% Fibonacci retracement level from the overall move. If we can break down below the ¥1 million level below, then I think the market drops from there. Overall, I anticipate that this market is going to be quiet until we get some type of volume. At this point, I don’t care if he goes higher or lower, it is volume that I’m looking for, but I’m the first person to admit that where we go next is a bit of a mystery. I will point out that most of the heavy volume trading sessions have been to the downside, which is a negative sign in general.
