Bitcoin's structural obedience in the summer of 2014
Support held exactly where it was supposed to, just above the June 13 and 25 lows. The diverging bottoms (purple) have played out all their steam on this reversal. Now we're nearing the line of scrimmage (Orange thick dotted).
The question is whether or not we can continue to push through resistance. Psychologically the highs feel heavier than they did at the beginning of July because we've been there twice before but the books show a much clearer path with the few big buys recently, at least on BTC-e. Adoption marches onward, of course, but I don't think the market is ready to leave the structures that have been built since the beginning of June without a fight, which is why I'm hesitating before I trade to a heavily bought/sold position. I will wait until emotional buying and profit taking has run it's course before I'm ready to re-establish a one-sided position.
The question is whether or not we can continue to push through resistance. Psychologically the highs feel heavier than they did at the beginning of July because we've been there twice before but the books show a much clearer path with the few big buys recently, at least on BTC-e. Adoption marches onward, of course, but I don't think the market is ready to leave the structures that have been built since the beginning of June without a fight, which is why I'm hesitating before I trade to a heavily bought/sold position. I will wait until emotional buying and profit taking has run it's course before I'm ready to re-establish a one-sided position.
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