BTC/USD Analysis – September 01, 2021

Major Resistance at 47,485

The BTC/USD closed at $47,157.0 after placing a high of $48,241.0 and a low of $46,725.0. BTC/USD continued its bearish streak for the 4th consecutive session on Tuesday amid the recent market sell-off. The former United States President, Donald Trump, said that cryptocurrencies were fake as nobody knew what they were as many people do not know anything about them. When asked about his views on the health of Wall Street markets and the potential of bitcoin and the cryptocurrency market, Trump said that he liked the currency of the United States and called the other currencies the ones waiting for a disaster to happen.

Trump further asked to put the protection and sovereignty of the U.S. dollar as a priority rather than grasping the overwhelming benefits of blockchain technology and cryptocurrencies. These comments from Donald Trump added to the declining prices of BTC/USD on Tuesday and dragged them further to the downside.

Furthermore, a billionaire hedge fund manager and the president of the U.S. investment firm Paulson & Co., John Paulson, has shared his views on cryptocurrencies. Paulson became famous in 2007 for shorting the U.S. housing market as he foresaw the upcoming mortgage crisis and bet against mortgage-backed securities by investing in credit default swaps.

On Tuesday, Paulson shared his views on Bitcoin and cryptocurrencies and said that he was not a believer in cryptocurrencies. He described the digital coins as a bubble and said that they were a limited supply of nothing. He elaborated that there was no intrinsic value to any cryptocurrency except a limited amount.

Paulson continued bashing cryptocurrencies and said that regardless of where they were trading today, they would eventually prove to be worthless. He said that he would not recommend anyone to invest in cryptocurrencies as once the exuberance wears off and the liquidity dries up, and they will go to zero. He also explained that even if he believes that bitcoin will end up declining in the long-term future, he will not short bitcoin as if he does so, he would be wiped out in the short term. These comments from Paulson added a further negative stance to the ecosystem of bitcoin, and BTC/USD raised its losses on Tuesday.

Meanwhile, a report suggested that Venezuelan authorities were looking for a scammer accused of disappearing with about 23.66 BTC worth of $1.15 million from the account of his clients after faking his kidnapping.

The police issued a report which stated that a 23-year-old citizen was wanted by the country’s largest national police agency over charges of suspected money laundering and fraud. Authorities believe that the person staged his abduction as his clients' accounts at Binance have emptied since his disappearance. This news about another bitcoin scam added to the negative stance of BTC/USD and added further loss to its prices on Tuesday.

BTC/USD Intraday Technical Levels

Support Resistance

46507.6 48023.6

45858.3 48890.3

44991.6 49539.6

Pivot Point: 47374.3

BTC/USD - Technical Outlook

The leading cryptocurrency BTC/USD is mostly unchanged and trading with a bearish bias at the 47,266 level, having violated the pivot point support level of 47,600 level. On the downside, the pair is facing another support at the 46,267 level. However, the 46,267 support level breakout exposes the BTC/USD pair to 45,531 and 44,207 support zones.

Moreover, an additional breakout of 44,207 levels exposes the BTC towards 43,050 support levels. Conversely, the breakout of the 47,600 resistance level exposes the Bitcoin towards the 48,327 and 49,650 levels. The RSI and 50 EMA support a selling bias. Therefore, the focus should remain on 47,600 as the selling bias remains dominant below this level and vice versa. All the best!