BTC/USD
Bitcoin markets went sideways initially during the trading session on Thursday, but then exploded to the upside as we reached as high as $8000. We pulled back slightly from there, and it is an area that is very choppy in general and noisy as well. I think that pullbacks continue to be likely, but those should offer value for traders going forward. Ultimately, the markets look to have formed a bit of a base, and I think that there has been a significant change in attitude during the day. That isn’t to say that we are in the clear quite yet, but certainly it looks as if short-term buying opportunities could present themselves on these pullbacks.
BTC/JPY
And what I consider as one of the most important crypto currency markets, Bitcoin has exploded to the upside against the Japanese yen. The ¥850,000 level is the fulcrum of major noise, and I think that it should continue to be resistance. However, I do think that we managed to break above their based upon the impulsive move that we’ve had, with pullbacks offering a bit of value. This will also be a situation where it will take a certain amount of wherewithal to hang onto these positions. It looks as if the ¥700,000 level is going to try to offer a bit of a base, so right now I think that you could get a short-term opportunity to go long on these dips. I still look at the ¥1.1 million level above as a major resistance barrier that would need to be cleared to change the trend.