Crypto Industry News:
The potential reduction in interest rates by the US central bank is clearly one of the reasons for the recent rise of Bitcoin, said Jim Reid, a board member of Deutsche Bank in a TV interview. Reid, the head of global core credit strategy at Deutsche Bank, stated: "If central banks are so aggressive, alternative currencies will start to be a bit more attractive'.
Reid referred to the recent Fed chairman, Jerome Powell, who said yesterday that the central bank is considering a rate cut under the conditions of current economic uncertainty and inflationary risk. As a result, the US dollar fell yesterday in comparison to large fiat currencies, noting a three-month drop in relation to the euro, which was allegedly triggered by expectations for repeated interest rate cuts by the Fed. Reid also noted that the recent cryptocurrency price jump is partly caused by the upcoming Facebook crypto project - Libra.
Technical Overview:
The BTC/USD pair might have completed the upward impulsive cycle at the level of $13,698 as the top of the wave 5 of the lesser degree was made there. The pair then had made a 13% correction within a matter of minutes and now it is possible the wave A of the corrective cycle is done as well, with the low at the level of $11,714. The overall trend is still up and there are no signs or any trend reversal yet.
Weekly Pivot Points:
WR3 - $14,368
WR2 - $12,738
WR1 - $12,143
Weekly Pivot - $10,500
WS1 - $9,956
WS2 - $8,295
WS3 - $7,678
Trading Recommendations:
The best strategy in the current market conditions is to trade with the larger timeframe trend, which is still up. All the shorter timeframe moves are being treated as a correction inside of the uptrend. The larget correction is just around the corner, as all the major impulsive waves have been completed.
