Technical analysis of BTC/USD for 23/01/2020:

Crypto Industry News:

AB InBev, the company behind the Budweiser brand, helps local African farmers prove their income using Blockchain technology. The Blockchain-based system developed in cooperation with BanQu tracks all local AB InBev suppliers, replacing the paper version.

AB InBev is an international conglomerate resulting from the merger of several recognized beer producers. One of the most recognizable brands are Budweiser, Stella Artois and Corona.

The company has adopted a strategy of using local suppliers, thanks to which they receive tax breaks for their additional contribution to the country's economy. However, this proved more difficult in Africa, a continent on which the banking infrastructure remains underdeveloped and it is difficult for farmers to obtain paper documents.

Working with BanQu, a company specializing in Blockchain supply chain solutions, AB InBev introduced a distributed accounting system that tracks all local farmers who supply barley and malt to the company. This allows them to prove their income to local banks and thus open bank accounts and credit lines.

Access to banking allows local farmers to finance more efficient farming tools, increasing yields and getting more money. The system also helps reduce corruption introduced by brokers who have consolidated shipments to breweries.

Technical Market Overview:

After the BTC/USD pair had made a swing high at the level of $9,130, the supply side has taken temporary control of the market and have managed to push the prices towards the key short-term technical support level located at $8,405. The long lower shadows of the candles that are visible on the H4 chart indicated an increased bullish activity: they are still defending this support level. Any violation of the level of $8,405 will lead to the sell-off extension towards the next technical support at $8,298 and below. For now, the market is consolidating in a narrow range between the levels of $8,405 - $8,693, but the breakout can happen any time now.

Weekly Pivot Points:

WR3 - $10,362

WR2 - $9,728

WR1 - $9,214

Weekly Pivot - $8,735

WS1 - $8,034

WS2 - $7,406

WS3 - $6,911

Trading recommendations:

There is a possibility that the wave 2 corrective cycles are completed at the level of $6,345, so the market might be ready for another impulsive wave up of a higher degree and uptrend continuation. This strategy is valid as long as the level of $7,582 is not violated. Nevertheless, the larger timeframe trend is still down and all the shorter timeframe moves are still being treated as a counter-trend correction inside of the uptrend until the level of $10,278 is clearly broken.

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