Bullish Bounce off in Bitcoin Price!
The BTC/USD was closed at $32878.9 after placing a high of $33939.0 and a low of $32063.0. BTC/USD dropped on Thursday for the second consecutive session after the Deputy Director of the Central Bank of China stated that Bitcoin and stable coins were speculative tools with potential risks threatening financial security and social stability. He also stated that bitcoin and stable coins were also being used for money laundering and illegal economic activities.
According to the Deputy Director, Fen Yufei, the stable coins could potentially bring risks and challenges to the international monetary system. He acknowledged that the bank was worried about this fact and was taking some measures against it. Yufei said that the central bank was continually studying and observing the private digital currencies; however, at the same time, it was also vigorously promoting and improving its own central bank digital currency, Renminbi.
Meanwhile, Israeli officials have said that they will take action to seize cryptocurrencies from 84 wallet addresses. These wallets could hold millions of dollars worth of cryptocurrencies. Additionally, the officials suspected that these addresses belong to Hamas. The estimated accumulated amount held by the wallets is $7.7 million.
Furthermore, the Bank of Thailand issued the latest warning to crypto holders against using digital currencies for payments, adding extra pressure on BTC/USD. The bank warned crypto holders who use their digital assets as a medium of exchange that if their practices become widespread, it might take strong measures to regulate the cryptos. On Thursday, the central bank of Thailand said that anyone who is involved in the business of digital assets for goods and services, as a recipient or sender, could face risks, including money laundering, theft, and price volatility. The bank also reiterated that Bitcoin and Ether, including other cryptocurrencies, were not legal tender in the country and warned of consequences from regulators.
Additionally, Chinese regulators have issued a warning to citizens of the risks involved in crypto trading. After cracking down on crypto mining facilities, the regulators, including the Business Administration Department of People's Bank of China and the Beijing Financial Supervision and Administration Bureau, have set their eyes on companies providing crypto-related services. All these negative developments surrounding the crypto market added pressure on BTC/USD and dragged its prices downwards on Thursday.
BTC/USD Intraday Technical Levels
Support Resistance
31978.2 33854.2
31082.6 34834.6
30102.2 35730.2
Pivot Point: 32958.6
BTC/USD - Technical Outlook
On Friday, the leading cryptocurrency has bounced off the support level of 32,065 level to trade at 32,945. On the 4-hour chart above, Bitcoin has violated the symmetrical triangle pattern adding bearish pressure on the pair. The breakout of the 33,750 support level exposed bitcoin price towards the next support area of 32,065 level, and this double bottom support level pushed the pair back to the 32,934 mark. At the moment, Bitcoin's immediate resistance stays at 33,418 level that's being extended by 50 periods EMA level. Bullish crossover of 33,418 level exposes the BTC/USD price towards the resistance level of 34,999 level. All the best!
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