Bitcoin analysis for 22/01/2018

Bitcoin is under intense supervision on Bali - an island in the Indonesian archipelago. Central Bank officials are trying to solve the cryptocurrencies of the country. Causa Iman Karana, head of the Indonesian Bank's representation in Bali, said: "We have learned from some social media entries that Bali has become a haven for bitcoin transactions, and the next step will be to ban them in accordance with the law. That's why we ask people not to use the cryptocurrency anymore. A special criminal investigation unit will enforce the principle that all transactions in Indonesia are to be made by rupees".

The country was previously reported as having significant local consent to the use of Bitcoin, but recent reports indicate that the government is trying to limit the use of digital currencies. The risk of money laundering and criminal activity has led to increased control. Severe rhetoric against Bitcoin and other cryptocurrencies in Bali, in the eastern region is more reminiscent of China or South Korea, and more so than the milder and more open Australia.

Let's now take a look at Bitcoin technical picture at the H4 time frame. The market managed to break out above the resistance at the level of $12,737 and fall back down towards the consolidation zone again. Currently, the price is hovering around the weekly pivot at the level of $11,440 so the bias remains neutral so far. The nearest technical support is seen at the level of $9,196 and if the correction in wave (4) is completed, the market should move higher towards the level of $12, 737 and beyond.

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The material has been provided by InstaForex Company - www.instaforex.com