Technical Analysis of BTC/USD for 23/04/2020:

Crypto Industry News:

US market analysts say Bitcoin will be the most attractive to US citizens who have not received $ 1,200 stimulus checks from the government.

When a lot of information confirmed the trend of investing stimulus checks in the purchase of Bitcoin, Gabor Gurbacs, director of digital assets at VanEck, said that those who were missed in receiving help from the government will continue to look for opportunities to invest in crypto. Instead of short-term investments, people will trust Bitcoin more for its value, stability in difficult times and independence.

His words appeared only a few days after the data suggested that US assistance money had already been directed to crypto investments. According to the Coinbase exchange, deposits at the full value of $ 1,200 increased fourfold.

Meanwhile, the United States is planning help worth over 69 million Bitcoins for small businesses. The new stimulus package assumes financing in the amount of USD 484 billion, which according to employers will take place in several phases and will last for many months. Others, however, are demanding regular assistance with regular disbursements of $ 2,000.

The overall impression among both Bitcoin users and consumers, however, suggests that $ 1,200 is insufficient compensation for job losses, income and other restrictions due to a coronavirus pandemic.

Technical Market Outlook:

The BTC/USD pair has tested and bounced from the main channel upper line and made a new local high at the level of $7,129. There is a Pin Bar candlestick pattern at the top of this move and now new swing high has been made, so the market can hover around this level for some time now. The momentum however is increasing and has reached the positive teritorry, so there is some strength in the last wave up. Please watch the level of nearest technical resistance located at $7,247 to invalidate the downward scenario.

Weekly Pivot Points:

WR3 - $8,288

WR2 - $7,759

WR1 - $7,459

Weekly Pivot - $6,596

WS1 - $6,675

WS2 - $6,137

WS3 - $5,855

Trading Recommendations:

The fear of the coronavirus consequences is very strong among the global investors and it rules on the financial markets. So far the global investors are not so keen to invest in Bitcoin and treat BTC as a digital gold. The larger time frame trend remains down and as long as the level of $10,791 is not violated, all rallies will be treated as a counter-trend corrective moves. This is why the short positions are now more preferred.


The material has been provided by InstaForex Company -