Good technical traders always watch the news also. The best charts in the world aren't much help if events drive the price, so you factor these out. You must be willing to sit on the sidelines sometimes. I think a lot of folks are doing that right now.
Bitcoin's price has been correlated with gold a lot lately. Not always, but quite frequently, if you watch the two. And it's pretty well known that gold often trades inversely to the U.S. dollar. Gold has stayed low the last few months partly because of the dollar's strength. There are rumors of a rate hike in the U.S., where the stock market is finally taking a breather after quite a good run on positive economic indicators. And with the other things that are happening, the U.S. is a safer place for money at the moment.
All I know is that this next week will be a bit weird. I'm guessing there probably won't be a lot of volume coming into cryptos, aside from the bots. We have the Scotland vote coming up in a week, uncertainty in the Ukraine, and a U.S. military campaign ramping up against ISIS in Syria. There's nothing freakish yet and the markets have largely priced in these risks. If things get worse on any front, you might see gold and Bitcoin go up a bit. But I think everyone's playing it cool and probably not prone to taking a lot of risks as they see how these things unfold.
At some point soon, BitShares is going to be bringing people into cryptos. It's bucked the Bitcoin price trend before. But without other drivers in the short term, the times BTSX really rallies seem to be when Bitcoin also is going up and more money is coming into crypto.
I predict a fairly flat week or a little down. Now watch my forecast for this week be utterly and completely wrong!
Topic: Lets see if it bounces. (Read 13925 times)
