Bitcoin teetering on the edge

12 sie 2016

Bitfinex Hack
The Bitfinex closure has briefly messed up the charts by missing several days of price action. However, they still remain the most voluminous exchange and the most popular margin trading platform for USD. I do not expect them to go away. I am currently holding BFX tokens just as everyone else but have not yet begun trading them because Tradingview has not added them to charts as far as I can find. Overall, I think they handled the situation very well with transparency and constructing an alternative debt vehicle in the form of the tokens. It was also extremely clever; people wanting to cash out their debt obligations immediately do so via the secondary market they created thus lightening the risk of a full run on Bitfinex assets. They also created a new tradeable security (using that term loosely).

Price Action
I am actually not changing my last forecast much. Though the charts are only updating with new data going on what I see time is still passing towards the "Danger Zone" I had labeled before the hack. If anything; now time has setup a break of the Daily support of 611 that has turned it into resistance and setup a potential short breakout. If price goes past 569 in the next few days the probability is high that a bearish trend will take price down to at least the Weekly Support level of 476.