Bitcoin up $3 Dollars, Nears $330


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Bitcoin is up another day and now nearing the $330 figure again. On BTC-E we opened at $319.76, dipped very slightly to $317.50 before rallying to a daily high of $326.16. We are currently quoted at $323.53, only a new couple of dollars below the price before the EU-inspired crash. On the chart below we can see this recovery unfold nicely in the past two days.


On rival exchange OKCoin we opened at $321.31, rallied to a daily high of $328.99 before falling to $327.09 right now. Chinese exchanges are trading bit higher today at 2,103 Yuan or $330 per BTC. The $2-$3 dollars premium on CNY sites is within historical values. This was the normal premium before a series of devaluations and rate cuts in China threw a money wrench in the works. The premium is translating into a nice premium on bitcoin futures as well, with $2 dollars for the nearest contract and $7 dollars for the far-out December issue.

While bitcoin has seen some gains the in the past 48 hours, the longer-term picture remains range-bound. Since the end of the rally on November 11th we’ve been stuck in a wide range from $310 to $350 dollars per coin. While a break above $350 may have some follow-through, a restart of the uptrend requires a move above the November highs at $504.

On the downside, weak support can be found at the low of the range near $307-$310 dollars, followed by the round $300 figure. But to start a new downtrend, the bears will need to push for a decisive break below $290 dollars per coin. The levels above are for OKCoin’s USD spot exchange, not futures. They can be applied to most USD sites, with small modifications. For example, BTC-E usually trades at a $2-$3 discount to the general USD market while BitFinex and OKCoin tend to closely mirror each other.

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mm – leading Bitcoin News source since 2012

Virtual currency is not legal tender, is not backed by the government, and accounts and value balances are not subject to consumer protections. The information does not constitute investment advice or an offer to invest.