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BTCUSD Weekly Outlook and Bitcoin Fundamentals, 29th June 2022

Introduction

The FBI (Federal Bureau of Investigation) recently raised an alarm about another scamming method mimics an investment strategy called liquidity mining. Crypto investors, Indian trading brokers, and American citizens are warned about ways scammers exploit owners of their digital assets. 

They explained that liquidity mining in a legitimate form is to give investors some return on investment from the trading fees. However, there are fraudulent liquidity mining applications that scammers use that will wipe out victims’ funds without notification or permission. 

BTCUSD Technical Analysis

Monthly Chart

BTCUSD monthly chart - 29th July 2022

Monthly Resistance Levels: 30000, 25001, 45000.

Monthly Support Levels:  19500, 17600.

The BTCUSD market has done 100% retracement back to the previous ATH it made in the 2017 dollar mark. The cryptocurrency market dips lower, below the expectations of crypto investors, Indian brokers, and users. The price of bitcoin has touched the 50 moving average and we can see a reaction of price around the region.

If the moving average will serve as dynamic support for the BTCUSD pair, we shall see that the recent bounce will continue to take the price higher and higher. A close above the 25001 level of resistance will push the price higher to the 30000 dollar mark if the bullish momentum increases.

Weekly Chart

BTCUSD weekly chart - 29th July 2022

Weekly Resistance Levels:  $30000, $24300.

Weekly Support Levels:   $19600, $18000.

The cryptocurrency market saw a week of bullish run after struggling for weeks to control the market. It was encouraging for the Indian brokers who want to buy more bitcoin and hold for a long. The bulls were able to lift the price by about 16% last trading week.

This week we expect a resurgent cryptocurrency market to attract more Indian brokers as the price of bitcoin rose about 7% after experiencing long weeks of dormancy. A bullish surge above the 24300-dollar level will push the bitcoin price higher and the fear within the cryptocurrencies will reduce as signs of stability will be seen.

Daily Chart

Daily Resistance 32500, 24500

Daily Support 20000, 18500

The India brokers and other long-position traders are holding their position as the cryptocurrency market is showing signs of a bullish surge in recent days. Looking at the daily time frame, you can see that the daily candle of 26th July 2022 closed in a dragonfly formation. It showed that the buyers are not ready to leave the market, they want to retest the 24500-dollar zone for a breakout scenario if they can get the momentum.

From the higher time frames, the bullish trend has not been certain because the higher time frame trend supersedes the lower trend. A continuation of the sell-off will continue if the price of bitcoin closes and breaks out below the 18500 level on the daily chart.

Bullish Scenario:

India brokers will like to see the price of bitcoin break out above the recent resistance level of 24500 for the bullish scenario to attract more investors and traders in the daily time frame. The zone is building up bullish options but it needs the momentum to take the swing above the psychological area.

Bearish Scenario:

The sellers sold off Bitcoin from the 24500 level when it was retested some days back. However, if the buyers cannot take the price higher and fails to break out above the current resistance level we may see the sellers dominating the crypto market and breaking out below the current low of the BTCUSD pair.

BITCOIN NEWS EVENTS 

SOUTH AFRICA FINANCIAL SYSTEM IS USED BY TERROR GROUPS

The US government sanctioned four individuals who are based in South Africa and are accused of facilitating the successful transfer of funds to the African terrorist groups within the continent. A report from UNSC alleges that the Islamic State group (IS) in Africa is using the South African Financial system for money laundering and mobilizing funds for their networks.

Reports from an unidentified source in the United Nation states that South Africa is now an important center for facilitating transfers of funds from other groups like DRC, Mozambique, and Nigeria that are affiliated with it. The monitoring team in the UN also reveal transaction above $1 million was carried out.

The terrorist groups are allegedly seeking crypto donations despite being watched. The African terror groups continue to raise funds in millions of dollars from their backers. From the UNSC documents, the Al Shabaab group which is an affiliate of the Islamic State and a rival to Al-Qaeda is likely to receive $ 24 million yearly which is used to purchase a weapon, but the overall view is that the Al Shabaab is earning between $50 and $100 million and the various groups might be seeking donations in form of cryptocurrencies.

Conclusion and Projection

The trading activities started with the BTCUSD losing some of its gains from last week’s bullish run when the price retested the 24500-dollar levels. However, the bullish momentum will continue to push the price of bitcoin up if the buyers can hold the 20000 zone as it has done previously.

Long position traders will want to hold their position in anticipation of a successful bullish run to breakout above the psychological level of 24500 for the uptrend to continue in their direction. However, a close below the 18000-dollar mark will bring in fear and the price of bitcoin may drop lower to a new low.



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