2-Hour Analysis:
Big Picture: As the end of the year approaches, the trading volume is running low. Bitcoin has been trading in a fairly narrow range of almost 400 points during the last few days, ranging from 16,920 to 16,550. Furthermore, the volatility index has decreased to a very low level, suggesting a lack of volatility in the coin. However, due to the absence of activity in financial markets, such a circumstance may prevail over the next several days. Conditions will improve as the New Year begins.
On the Upside Bitcoin is still experiencing early resistance at the 16,900 mark. This level is currently limiting the gain. A break over this level would re-ignite the intraday trend towards higher levels, including 17,150 & 17,220, and eventually 17,380.
On the Downside there is a fair amount of support in the offers at the 16,800 and 16,700 levels. Both of them are good intraday supports. However, the loss of these supports would trigger a decline that could target 16,650 initially, followed by 16,550 and 16,230. Any big movements are currently unexpected.
