Technical Analysis of BTC/USD for September 29, 2020

Crypto Industry News:

A new study by cryptocurrency mining company Genesis Mining suggests that most US citizens are against the introduction of a central bank digital currency. A Genesis Mining study found that of the 400 participants, less than 25% agreed with the proposal that the government should ditch paper money in favor of the digital dollar, while more than half were against it.

However, the number of CBDC supporters almost doubled in 12 months, with only 13% of respondents in favor of the digital dollar when this question was asked in 2019.

While more than 85% of survey respondents expressed knowledge of crypto assets, many associate virtual currencies with criminal activity, possibly contributing to weak support for CBDC.

The report also found poor understanding of monetary policy among the general public, finding that 38% of respondents believe the US dollar is backed by gold, bonds or oil, and an additional 13% simply do not know. Despite the lack of interest in monetary policy, 88% of respondents indicated inflation as critical.

In August, the Bank of Canada released a study that found that financial literate respondents were half as likely to own cryptocurrencies than the general public.

Technical Market Outlook:

The BTC/USD pair rally had been terminated at the minor supply zone located between the levels of $10,890 - $10,940 and the market reversed. Moreover, the price has broken the short-term trend line support around the level of $10,700 and made a local low at the level of $10,597 already. The momentum remains neutral, but it the bearish pressure intensify, the sell-off might continue towards the level of $10,586 and $10,430.

Weekly Pivot Points:

WR3 - $11,934

WR2 - $11,451

WR1 - $11,105

Weekly Pivot - $10,558

WS1 - $10,238

WS2 -$9,737

WS3 - $9,392

Trading Recommendations:

The weekly trend on the BTC/USD pair remains up and there are no signs of trend reversal, so buy orders are preferred in the mid-term. All the dynamic corrections are still being used to buy the dips. The next mid-term target for bulls is seen at the level of $13,712. The key mid-term technical support is seen at the level of $10,000.


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