Bitcoin is up 40% from its weekend lows as the combination of a bullish Goldman Sachs note on the virtual currency and a major sigh of relief that the potential 'civil war' over cryptocurrency's scaling solutions appears to be over (with over 80% of the hashrate currently voting for the protocol upgrade).
The entire cryptcurrency space is surging today...
As it seems the civil war may be ovver (as Cryptocoinsnews.com reports), Bitcoin miners have seemingly made a decision to activate segwit with some 80% of the hashrate currently voting for the protocol upgrade with other miners expected to follow soon.
But Bitcoin is outperforming among the larger peers...
Goldman is also out wth a new bullish note on Bitcoin...
Bitcoin has reached/so far held notable support at 1,857-1,789. The area includes an ABC equality target off the June high as well as the 100-dma. The 100-dma has been particularly reliable in holding pullbacks since the late-’15 lows. Moreover, due the corrective nature of the pullback, this ABC target seems like a reasonable place to watch for signs of a turn. Additionally, daily momentum is nearing similar levels to where they previously based in March. All in all, the balance of signals appear to be shifting to a more positive tone.
From a wave count perspective, this entire retracement can be viewed as a counter-trend 4th wave in a V-wave advance that started in ’11. From this perspective, it’s either completed a full ABC or only the first A leg of a 3-3-3 type correction. Either way, this 1,856-1,790 area has potential to act as strong support. The first level to note above is gap resistance at 2,159.
Finally, GS says a minimum target for eventuial Vth wave is around $3000...