Technical Analysis of BTC/USD for July 16, 2020:

Crypto Industry News:

The Mitsubishi UFJ or MUFGt financial group, the fifth largest bank in the world, reportedly plans to issue its own digital currency in the second half of 2020.

The digital currency project launched in 2015 was originally intended to operate in a Blockchain network and facilitate instant peer-to-peer transactions. After many delays, the initiative is to be implemented no later than in 2020.

Hironori Kamezawa, president and CEO of MUFG, announced on Monday new plans for the local news agency Mainichi Shimbun. As part of the upcoming premiere, MUFG plans to launch mobile retail payments based on digital currency in cooperation with its partner, the Recruit Group.

According to the report, Kamezawa said that almost 1 million member recruitment stores have already signed up for this collaboration. "We believe that everyone will be able to use it openly," noted the CEO, adding that in the future the MUFG token will also be available in stores that are not recruits.

The MUFG token was designed as a stablecoin based on 1: 1 Blockchain relative to the Japanese yen. About five years ago, the implementation of the MUFG token has been delayed several times since the project began. The bank reportedly tried to launch the token in both 2018 and 2019.

Technical Market Outlook:

The BTC/USD pair gets closer to the key short-term support located at the level of $9,000 as it keeps trading below the short-term trend line resistance and below the local technical resistance located at $9,240. The past Pin Bar candlestick low was made at the level of $9,052, which is just below the 61% Fibonacci retractement located at $9,082. If violated again, then the key short-term support is violated and the drop might accelerate towards the level of $8,860. The momentum is still hovering around the neutral level, but there is no sign of increased bullish activity. Only a sustained breakout through the trend line resistance might put the bulls back to control over the market again.

Weekly Pivot Points:

WR3 - $10,016

WR2 - $9,728

WR1 - $9,448

Weekly Pivot - $9,161

WS1 - $8,884

WS2 - $8,576

WS3 - $8,302

Trading Recommendations:

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 until the level of $10,791 is clearly violated. The key mid-term technical support is located at the level of $7,897.

analytics5f0feb7ccafcb.jpg

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