Bitcoin market turns bullish and gaining a momentum

Since the beginning of March, Excon Fuji Securities, recommended bitcoin as it kept ticking higher along a new trend. The price rallied for a few trading sessions with the market correction occasionally drags the price down to reverse then releases it to start rising again.

Bitcoin prices have been holding a steady decline over the past months, even with the online currency becoming more popular with reputable merchants stepping in, including Expedia, PayPal, Dell, and Overstock.

Bitcoin is a digital currency that is not regulated by a central bank or government. It is used to purchase services and goods from online retailers.

On Tuesday, the virtual currency moved up to score a high at the $298 level, amid strong traders' confidence in bullish chart signals suggesting strong volume growth in the upcoming trading sessions.

The BTC/USD pair price increased 0.99% or $2.92 on Bitfinex to trade at $294.75 during U.S. morning hours. BitStamp price (Bitcoin Slovenia-based exchange) gained $5.36, or 1.86%, to trade at $292.88, while the BTC-e price (Bitcoin Bulgaria-based price) increased $3.62, or 1.26%, to trade at $290.50.

The BTC/EUR currency pair jumped €7.18 or 2.69%, to trade at €274.00 on Kraken Exchange. BTC China (yuan-denominated Bitcoin prices) climbed 41.39 yuan, or 2.3%, to trade at 1,843.33 yuan.

According to the price pattern of the virtual currency during the past few days, Bitcoin price is expected to pull back to touch the support level at $288 before climbing again towards the $300 resistance level.

Dollar slips as Fed statement lowered expectations of higher interest rates

The US dollar headed lower against a basket of major currencies on March 19^th, after the Federal Reserve tempered expectations for higher interest rates stating it will rise at a slower pace than previously expected.

Earlier this month, the U.S. central bank downgraded its forecasts for growth and inflation. Meanwhile, the Australian dollar rose over 1% against USD as the greenback lost ground after the Federal Reserve statement.

The AUD/USD pair traded at 0.7718 then hold steady at 0.7691, tumbling 1.04%, while the EUR/USD currency pair declined by 0.60% hitting the 1.0694 level.

Elsewhere, GBP/USD declined by 1% to 1.4823, while USD/CHF increased by 1.65% to reach the 0.9942 level. The GBP plummeted to nearly five-months lows against the USD after the U.K. Office for National Statistics stated that the rate of unemployment remained unchanged at 5.7%, disappointing markets’ anticipations for a decline to 5.6%.

The dollar grinded higher against the yen and the pound, with USD/JPY increasing 0.41% to hit 120.60 and GBP/USD sliding 0.57% to 1.4895. The U.S. dollar index, which measures USD strength against a trade-weighted basket of six major currencies, gained 1.88% to reach 99.21, after falling to three-week lows of 94.77 earlier.

Excon Fuji Securities, stated that the American currency affects all countries and a stable dollar would be better for the U.S. and the entire world. She also warned that the stronger dollar acts as a drag on U.S. exports and pushes down inflation.