The BTCUSD pair on the monthly chart shows that the crypto traders who are shorting the BTC are engulfing the previous month
Introduction
Crypto brokers who have mining devices (ASIC) are raking in profits as the crypto economy is currently valued at under $2 trillion. The Application Specific Integrated Circuit mining devices can also mine other cryptocurrencies like Ethereum a 1.5 (GH/s) gigahash which can make about $51 per day in profit while BTC miners SHA256 can have a processing speed of about 110 terahash can return profits up to $13 per day.
Let’s dive into the charts and reveal the significant technical price levels of the BTCUSD.
BTCUSD: Technical Analysis
Monthly Chart
Monthly Resistance Levels: 30000, 48000.
Monthly Support Levels: 13000, 17500.
The price of Bitcoin is still down since the asset lost its value against the USD. Despite the fall in price, the Bitcoin miners are still making decent profits as the network hash rate reaches ATH in 2022, running above 200 exahash per second (PH/s).
June’s candlestick dropped to the 17500 level as the Bear’s momentum continues to dominate the BTCUSD cryptocurrency market. The price dropped about 20% at the start of the month and the selling pressure has not slowdown since the bearish scenario started.
Weekly Chart
Weekly Resistance Levels: 34000, 25000.
Weekly Support Levels: 20000, 16800.
Last trading week ended in a Doji in the bitcoin market as both buyers and sellers could not determine the direction of the price. Crypto brokers have not experienced such a bearish move in the crypto industry and it is of concern to all crypto users as they fear the level at which price is falling. However, as the price continues to hover around the 20000 zones, a close below the 13 June 2022 weekly candlestick will mean that the bearish trend continues.
The trading week started on a quiet note as buyers are hopeful that the price of bitcoin will find a support level and the buying power will favor bullish traders after seeing indecision from the sellers. If Bulls can dominate the bitcoin market we are going to see a bullish rally from those levels of 20000.
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Daily Chart
Daily Resistance 25220, 33000.
Daily Support 17500, 19000.
As the trading activities continue to run in another trading week, we have not seen much movement from the BTCUSD pair after the tweezer bottom pattern. Crypto brokers expected the Bull’s pressure to increase for the price of bitcoin to increase in value.
However, the 17560 level has been a fortress for the Bulls in the last 10 days, if they can hold the zone, we shall see the pair establishing support for possible reversal for a bullish run.
The trend remains bearish on the daily chart while it is experiencing a correction phase. Will the correction be similar to the previous scenario before we get another bearish breakout? Or the price could retest the previous support level of 25220.
Bullish Scenario:
The possibility of the Bulls taking the price higher on the daily time frame is still possible if the price does not close below the 17550 level. A bullish run scenario will be observed when the momentum builds up.
Bearish Scenario:
Crypto brokers in short position need to break the low of 17500 for the bearish scenario to continue as short position traders continue to push the price down on the higher timeframe. A close below the 17500 level will lead to another bearish swing on the BTCUSD pair.
BTCUSD News Events
KAZAKHSTAN AUTHORITIES: WORKING TO MAKE THE CRYPTO INDUSTRY FAVORABLE
The President of Kazakhstan says that the country is home to many crypto users and miners and they need to make the cryptocurrency industry favorable so that it will attract investors. From the recent summit that took place, the State-run center is home to numerous users of cryptocurrency and many that work in the mining sector as Kazakhstan has been a supportive base to many bitcoin miners when they relocated from China due to the crackdown on miners.Tokayev wants to build a long-lasting relationship with investors and tourists coming into their country. He doesn’t just want people to shop in the country and for them to be tasked but the country must make good use of its crypto sectors. However, as the second-largest producer of cryptocurrency the country wants to provide new energy materials that will enhance its digital ecosystem.The government with some partners like Astana International Financial Center and Financial regulations is to develop a favorable conditions for the development of a good comprehensive digital ecosystem in Kazakhstan.
Conclusion and Projection
We expected the buying momentum to build up after the tweezer bottom was seen some days back on BTCUSD daily chart; however, the market activities have been slow and the price of bitcoin is consolidating within the 20000 and 19000 levels.
A strong surge is needed for a breakout above the 25500 level for a bullish run, while a close below 17500 will take the price lower towards the 15K mark.
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This article will not be giving advice for investment. It is strictly for educational purposes. Please consult your financial advisor when trading on leverage instruments, as we will not be liable for any losses incurred. Your capital may be at risk
- BTCUSD: Weekly Technical Analysis - September 30, 2022
- BTCUSD: Bulls to Dominate the Zone for the Price to Rise is Expected - September 16, 2022
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