Technical analysis of BTC/USD for 27/09/2019

Crypto Industry News:

British police are auctioning confiscated Bitcoins worth half a million pounds sterling ($ 621.400), according to financial media.

The funds were confiscated from criminals who offered their hacking services in exchange for Bitcoins - they illegally stole and sold personal data.

This is the first time confiscated cryptocurrency funds are being sold on behalf of the UK authorities, according to the publication. In addition to Bitcoins, the police also sell assets belonging to the criminal, including cars, diamond jewelry, and a luxury Rolex watch. The auction will be conducted by the Wilsons Auctions Irish auction house.

Wilsons Auctions sold over $ 400,000 captured Bitcoins and other cryptocurrencies in March on behalf of the Belgian Government. The United States was the first country to start organizing auctions for the sale of illegally acquired cryptocurrencies confiscated by the authorities in 2014, selling Bitcoins captured from the infamous Silk Road online market.

Technical Market Overview:

The BTC/USD pair has made another lower low on its way down, this time at the level of $7,676. This low might be the bottom for the wave (C) of the wave (A) of a higher degree, but there are no trend reversal patterns on the chart yet. The nearest technical resistance is located at the level of $8,102, so after the consolidation period, the price might bounce towards this level. The good news for the bulls is growing positive divergence between the price and the momentum that supports the short-term bullish outlook possibility.

Weekly Pivot Points:

WR3 - $11,109

WR2 - $10,706

WR1 - $10,333

Weekly Pivot - $9,939

WS1 - $9,560

WS2 - $9,159

WS3 - $8,757

Trading recommendations:

Due to the short-term impulsive scenario invalidation, 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 still being treated as a counter-trend correction inside of the uptrend. When the wave 2 corrective cycles are completed, the market might will ready for another impulsive wave up of a higher degree and uptrend continuation.

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The material has been provided by InstaForex Company - www.instaforex.com