The BTCUSD pair on the monthly chart shows that the crypto traders who are shorting the BTC are engulfing the previous month
Introduction
The adoption of cryptocurrency among some nations has been legalized and some are taking steps to own their token. Recently, it will interest crypto brokers to know that a country like Andorra with a population of less than 78000 is pushing to make cryptocurrencies and central bank digital currency (CBDC) with a proposal of developing its token.
They propose to adopt a friendly policy on cryptos in the future, and the government tried to regulate crypto users within the country last year. A proposal is also put out for public consumption and according to reports, the architect slowed down on the plan and politicians are pushing for tokenization in a closed ecosystem like a ski resort.
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BTCUSD: Technical Analysis
Monthly Chart
Monthly Resistance Levels: 48200, 32900.
Monthly Support Levels: 17600, 19660.
About two weeks pulse into the 7th month of the year 2022 the trading activity was low before the bullish momentum began to grow. You can see bitcoin surging high from the $19660-level making almost 50% of June’s previous move from the opening price to the closing price as the crowd behavior favors a bullish bias.
The July activities started with little or no volatility because the market conditions were not predictable for market participants. The BTCUSD pair may continue to see more open positions if the confidence level is high among crypto brokers.
Weekly Chart
Weekly Resistance Levels: $33000, $25401.
Weekly Support Levels: $17600, $18000.
The trading week started positively for the long position traders as bitcoin reclaimed some positions from the 19000-support level. The close of last trading week’s candlestick was a long leg doji, which indicates that the bulls dominated the market from the low level to take the price up.
At the time of writing this report, the price of bitcoin was above the 23000-dollar mark, if the bulls can close above the 25401-resistance level, it is an indication that the bearish trend is coming to a close.
Daily Chart
Daily Resistance 22500, 25400.
Daily Support 18000, 19000
From the daily time frame chart, we can see that the price chart pattern has formed a triple bottom and the neckline of the 22500 regions is broken. A breakout above the recent resistance level of 22500 will give the buyers courage to hold their long position as they test the next resistance zone of May 12, 2022 (25400) for another bullish breakout, or the price gets rejected at the zones.
However, if the support levels of 18000 and 19000 become a confirmed support zone, the fear sentiments will be turned into a greedy scenario by crypto binary brokers in Australia and other countries.
Bullish Scenario:
The price swings higher above the 22530 level to set up a bullish resistance around $24276.74. We anticipate a price pull back from the current $24K zone, and a price close above the area would confirm a complete comeback for the bulls and a marked bottom.
Bearish Scenario:
The bearish trend usually continues after the price breakout below the consolidation phase from the chart since the downtrend started some weeks ago. We expect the downward movement to resume following the bearish divergence chart pattern at press time, which could bring the BTC price towards the $20K round number support.
Bitcoin BTC News Events
HEATHER MORGAN WAS PERMITTED TO GET A NEW JOB
The court recently approved the request of Morgan who seeks to get a new job while the case against her is still in progress. Heather Morgan calls herself “the Crocodile of Wall Street”. She and her husband (Lichtenstein Ilya) were charged in February for over laundering about $4.5bn worth of bitcoin that was stolen from the Bitfinex crypto exchange when it was hacked.
The Judge explained that the motivation for Morgan and her husband to flee had increased and the evidence against the two accursed offenders shows that the husband has more facility and skill than Heather Morgan, therefore, she was granted bail while he was denied bail. Lichtenstein is kept in Federal custody while his wife was granted permission to seek a legitimate job that can pay her over $10000 a month.
The US judge agreed to modify her pre-trial release so that she could apply for legitimate employment and earn some income while Bitfinex company intensify its efforts to hunt down hackers who stole about $36 million Bitfinex Bitcoin.
Conclusion and Projection
The BTCUSD has gained some levels of bullish momentum as the price of bitcoin continues to reject the 19000 level for days before the bullish engulfing candle attracted more traders and long-position traders into the market. If the bulls can break out above the resistance zone of the 25000-dollar mark, the crypto brokers who were to hold their trade for long will be able to regain some of their losses during the bearish trend.
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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
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