BTC/USD is seen inching closer to the 1100 mark on Tuesday and is currently trading at 1098 levels at press time (Bitstamp).
Ichimoku analysis of daily chart:
Tenkan Sen: 1032.54
Kijun Sen: 991.42
Momentum studies suggest further bullish trend: RSI(14) is strong at 70, MACD line is above the signal line and the pair is successfully holding above 21-DMA. However, some caution is advised are stochs are in the overbought zone.
The uptrend in bitcoin price follows reports of a regulatory alliance between Chinese authorities and bitcoin exchanges in the country.
On the upside, a consistent break above 1100 (psychological level) would target 1125 (trend line joining 941.81 and 1074.69)/ 1139.89 (January 04 high).
On the downside, the pair is likely to find support near 1056 (5-DMA) and any violation would drag it to 1021 (21-DMA)/975.10 (February 13 low).
