Slowly but steadily, bitcoin is gaining its bullish momentum, rising for the fifth day in a row. BTCUSD has refreshed two-week highs around $11,500 during the morning trading and is trying to keep above the psychological level $11,000.
The market has largely shrugged off the recent comments from the Bank of England Governor Mark Carney who called bitcoin a failure and a lottery. It looks like the industry is getting used to such statements and learns to ignore this kind of criticism. Meanwhile, behind the recent bullishness around the cryptocurrency is the released full support for the so-called SegWit. The new update makes bitcoin transactions cheaper and faster, therefore, attracting more buyers into the market. The additional support comes from the growth of the Lightning Network technology, which allows almost free bitcoin transactions.
From the technical point of view, the digital currency is yet to confirm its break to the upside. The key signals point at further bullish bias, but the buyers need to overcome the local resistance around $11,800 in order to challenge the next psychological barrier $12,000. A daily close above the $11,000 mark could confirm the bullish short-term prospects of the BTCUSD pair.
By Helen Rush
Senior Analyst at Capital Markets