The governing body of the Federal Reserve is releasing guidelines for institutions with novel charters who are applying for standardized master accounts, including cryptocurrency custody banks and their trade associations and crypto brokers.
The Fed also states that the level of due diligence and scrutiny for institutions with novel charters will increase, and they will undergo a more extensive review than the tradfi firms under the proposed guidelines. The guidelines are not legally binding, but it provides clear access for maneuver for crypto brokers and crypto players who desire access to the master account.
BTCUSD: Technical Analysis
Monthly Resistance Levels: 40000, 33000.
Monthly Support Levels: 18300, 19600.
The Bullish crypto brokers moved the bitcoin price closer to the 25000 level of resistance for the first time in the past weeks. The long position traders are careful and at the same time hopeful for a breakout above swing to take the price towards the supply zone of the 34000-dollar level.
The market cap of bitcoin is trading around $450 billion since the price of bitcoin has been ranging around the $24000 level bringing some levels of calmness into the market.
Weekly Resistance Levels: $25222, $24297.
Weekly Support Levels: $22500, $2000.
At the close of 08 August 2022, during last week’s trading activities, the Bulls were able to close the market in their favor as they closed the market at the price of the 24297-dollar mark. The month is beginning to get more market participants as the anticipation of the price breaking out above the resistance of the 25000-dollar mark increases among the bullish crypto brokers.
As the new trading week resumes, some analysts see the crypto traders with bearish sentiments trying to push down the price from the broken zone of previous support by the 13 June 2022 weekly candle when they closed below the low of 09 May 2022 (25222). We keep watching the reaction of the price around these psychological zones and see where the price movement will swing in the coming days.
Daily Resistance 24300, 24000.
Daily Support 18900, 20000
The BTCUSD pair started the trading week in a red zone having dropped by about 1.70% at the time of writing this report. The bulls have struggled to push the price up in the last trading days of the previous week and for them to save their position is to put on resistance against the sellers from pushing the price off bitcoin lower than the 23000-dollar level.
The bearish crypto brokers and other crypto retail traders who have short positions open will want to go below the 23000 level, and if that happens the bullish traders will have to close their positions and wait for another opportunity at the next support level of the 20000-dollar mark.
The Bulls need a miracle to get past the above zone of resistance of the $24500-$25000 resistance level because the level remains a key zone for the short position traders and crypto brokers. A breakout away from the above zone will favor the buyers and the market structure will become bullish.
The Sellers are not willing to let go of the resistance zones, as they have rejected the Buyer’s attempt around the key zones for days. If the market conditions and events do not favor the crypto market, the price of bitcoin may fall, and the Sellers will take advantage of the zones for the bearish scenario to take place.
Bitcoin BTC News Events
ANTHONY SCARAMUCCI MAKES A SHOCKING DEMAND FOR BITCOIN.
The founder of Skybridge Capital Anthony Scaramucci made a statement that a demand shock is coming for the number one cryptocurrency bitcoin, and it will take the cryptocurrencies higher according to his analysis with CNBC.
According to his analysis, if the institution’s interest continues to rise in the cryptocurrency industry, the BTCUSD pair will experience a long-term boost in the industry. The former Donald Trump administration staff also told CNBC that the steps taken by BlackRock and Fidelity to make crypto trading easier for their clients is a pointer that the large money managers are showing interest in the survival of bitcoin and other coins.
According to Scaramucci, based on the current market of bitcoin, he believes that the combination of fraud and excess leverage has caused the market to experience a massive sell-off at the beginning of the year which caused a technical overselling of bitcoin and Ethereum as well. He sees every crypto broker, and market participant as a long-term investor because of the fundamentals that favor the good crypto market.
He thinks that the federal government and the US congress will come up with an acceptable regulation for cryptocurrency because of the large number of people who have bitcoin.
Conclusion and Projection
Some analysts see the BTCUSD pair as getting closer to the whale’s accumulation area and the scenario will likely be that the price will breakout above the resistance level for the uptrend to continue or the price will get a rejection for it to go deeper.
If the sentiment in the market continues to favor the Bulls, we may see the trend changing from a downtrend to an uptrend and the price of bitcoin will continue to increase in value.
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
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