Bitcoin to USD ( BTCUSD ) Weekly Outlook , July 19 2019
BTCUSD Forecast and Technical Analysis & Fundamentals for Bitcoin
Introduction
Bearish sentiments heat up in the cryptocurrency market, and the Bitcoin and altcoin prices enter a downward spiral on Binomo India broker following the negative criticism by the US President Donald Trump and Steve Mnuchin (Treasury Secretary).
The shocking price decline was contrary to the beliefs of some cryptocurrency industry experts.
Let’s take a look at the BTCUSD technical factors responsible for the price decline, as well as go into details of the fundamental event.
BTCUSD Technical Analysis
BTCUSD: Daily Chart
Following the negative criticism by the US President on 12 July ’19, the Bitcoin BTC price closed bullish on that day; however, the bears responded with panic selling that sent the price crashing below the 10572.0 USD support from 24 June ’19, before setting support at 9084.7 USD.
BTCUSD: 4Hour Chart
After a breakdown of bullish support on 16 July ’19 07:00, the Bitcoin price plummets by 13.2% before exiting oversold area on 17 July ’19 07:00 and later setting up support at 9630.2 USD and 9658.5 USD on the eleventh and twenty-third hour of 17 July ’19.
As shown in the above 4hour chart, the anticipated breakdown of bullish support was rejected by an increase in buying power, leaving the candlestick with a long lower wick and closing above the 9999.20 USD resistance.
BTCUSD: 1Hour Chart
Scrolling way down to the 1hour intraday chart, the Bitcoin price on major Bitcoin broker platforms exited oversold territory while at the same time signaling a regular bullish divergence pattern on 17 July ’19 07:00, a move that got the bulls ready for a strong come back.
After a 78.6% Fibonacci retracement from the swing low (17 July ’19 06:00 -9084.7USD) to the swing high (18 July ’19 01:00 – 10000.00 USD), the BTCUSD saw a sudden increase in demand as the price increased by about 10.2% in an hour on 18 July ’19 09:00.
Bitcoin Fundamentals
Recent Bitcoin, Libra and cryptocurrency criticism by US President Donald Trump and Treasury Secretary Mnuchin may not be bullish like Barry Silbert, CEO of Digital Currency Group and Ikigai Fund founder Travis Kling had beforehand stated.
The market’s interpretation of the statements by the US President and Treasury Secretary is not favorable in the long term as we see about 19.6% decline in the Bitcoin price between July 12 and 17.
Secretary Mnuchin emphasized an increase in regulatory adoption in the cryptocurrency industry. He also mentioned the use of cryptocurrencies in support of criminal activities such as illicit drugs, cybercrimes, tax evasion, and so on.
A famous trader in the cryptocurrency community known as Satoshi Flipper believes that trading portals like the Bakkt Intercontinental Exchange and Fidelity a custodial service from top Financial Institutions are fundamental for an increase in demand for Bitcoin.
Following the upcoming halving of block rewards in May 2020, miners are reported to be holding on to their Bitcoin in anticipation of a positive outcome.
Conclusion and Projection
The sudden surge in Bitcoin price at press time shows that the market might have absorbed the negative criticism in the space and maybe ready for a continuation of the bullish trend and a likely bullish closing month of July.
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