Bitcoin Building Substantial Support Above 4.00 USD

Over the last 24 hours of Bitcoin trading, support above the $4.00 mark on the Mt.Gox USD market has grown from being non-existent to over 8,000 BTC and is continuing to climb. Selling pressure is proportionally minuscule, although there is still a bounty of offers in the $4.15 to $4.30 range, totaling nearly 12,000 BTC.

Resistance on the way up to $5.00 remains substantial. The last foray into these prices lasted over a month, between September 8th and October 15th, on the way down to an eventual low of $1.94 on November 19th.

The spike to $4.50 on December 20th, followed by the dive down to $3.50 on December 22nd and subsequent rise back into the $4.00 range is very bullish, indicating that we are becoming less and less likely to re-visit the $3.xx range.

I suspect that the recent slew of "maybe there's something to this Bitcoin thing after all" press is likely partially responsible for this change in market sentiment.

Edit: Only two hours later, there is now 13,000 BTC support above $4.00.

Posted in: bullish,trading