Technical Analysis of BTC/USD for May 26, 2021

Crypto Industry News:

Nobel laureate Robert Shiller told about cryptocurrencies in a TV interview published on Sunday.

He won the Nobel Prize in 2013. Together with him, Eugene Fama and Lars Peter Hansen were awarded. The award concerned research in the field of "empirical analysis of asset prices". Shiller is currently a professor of economics at Yale University.

Shiller is concerned today about the current housing, stock and cryptocurrency market. He says he sees the mindset of the "wild west" among investors in these markets. In other words, he sees them as speculative mania and gold rush.

While discussing the cryptocurrency market in particular, Shiller said, "It's a very psychological market."

"It's an impressive technology," he said.

As he added, "the ultimate source of value is so ambiguous that it has a lot to do with our narratives and not with reality."

Nevertheless, he said he was tempted to enter the cryptocurrency market.

- I was thinking about buying them to experience this. In fact, many people do. I have never bought Bitcoin. Maybe I should be active in this market - he noted.

Technical Market Outlook:

The BTC/USD pair is trying again to test the 38% Fibonacci retracement seen at $41,096. The market still trades under the supply zone located between the levels of $43,1459 - $41,794, so bears are still in full control of the market and only a strong breakout above the level of $41,096 (38% Fibonacci retracement of the last wave down) would temporary change the outlook to bullish. The next target for bears is May 19th low seen at the level of $29,701. The volatility is subdued and the momentum is now neutral.

Weekly Pivot Points:

WR3 - $58,682

WR2 - $52,643

WR1 - $41,961

Weekly Pivot - $35,513

WS1 - $25,163

WS2 - $18,359

WS3 - $7,655

Trading Recommendations:

Event despite the recent correction the bulls are still in control of the Bitcoin market, so the up trend continues and the next long term target for Bitcoin is seen at the level of $70,000. Any correction or local pull-back should be used to open the buy orders. This scenario is valid as long as the level of $30,000 is clearly broken on the daily time frame chart (daily candle close below $30k).

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

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