Bitcoin Price Analysis 30/1/2015 – Hold, Hold, Hold,…….

We spotted yesterday what seemed to be an attempt at reversing  the current bearish trend, as bitcoin price was well supported at the $220-$230 level; however, the attempted reversal was resisted shortly and the price began to fall again after reaching a high of around $243.

By drawing a trend line between the low reached on the 14^th of January ($165.82) and the high reached on the 26^th of January ($315) on the 1 hour Bitfinex (BTC/USD) charts from , and then plotting the Fibonacci retracements accordingly (look at the below chart), we can see how the downtrend that had started on the 26^th of January seemed to have been halted as the price touched the 61.8% retracement level at $220-$230. Afterwards, the price started rising until it exceeded $240 at the 50% retracement level (red circle on the below chart), which resisted further increase.

By plotting the Fibonacci retracement fan on the 1 day Bitfinex (BTC/USD) charts between the high reached on the 13^th of November, 2014 ($473.13) and the low reached on the 14^th of January, 2015 ($165.82) (look at the below chart), we can see that the price is currently touching the 61.8% Fibonacci retracement fan line. Accordingly, the current price shows much support as illustrated by Fibonacci retracements across 2 trend lines:

• The bullish trend line between $165.82 and $315
• The bearish trend line between $473.13 and $165.82

Conclusion:

Charts from Bitfinex