BTC/USD Analysis – September 02, 2021

Double Top Breakout at $49,350

After reaching a high of $49,102.0 and a low of $46,600.0, the BTC/USD pair closed at $48,844. On Wednesday, BTC/USD found some support and reversed its bearish trend, recouping some of its prior losses. Bitcoin prices have climbed closer to $50,000, owing to recent promising developments in the cryptocurrency market arena. Bitcoin prices have risen closer to $50,000, owing to recent encouraging results in the cryptocurrency market arena.

El Salvador's Legislative Assembly has passed legislation and established a $150 million Bitcoin Trust to help the country develop crypto infrastructure and services. On Tuesday, around 64 official voters voted in favor of the bill, while 14 voted against it. The Trust's mission is to convert Bitcoin into US dollars and fund the development of critical technology infrastructure to allow crypto assets to be widely adopted. The Development Bank of El Salvador will be in charge of the trust's activities.

This news came only a week before the contentious Bitcoin Law was supposed to take effect, giving BTC/USD a boost. El Salvador's Bitcoin Law will make BTC legal tender on September 7. Meanwhile, Twitter was said to be adding bitcoin as a payment option for content providers renewing their accounts on the platform. According to rumors, the corporation was using the lightning network to include a Bitcoin payment option for its new "Tip Jar" function.

The network's users will be directed through a Bitcoin lesson that will cover wallets and the Bitcoin lightning network in depth. The inclusion of Bitcoin tips was not surprising, given that Twitter CEO Jack Dorsey stated in July that bitcoin would play a significant role in the company's future. The debut date for this functionality has yet to be announced, but the news is that using the lightning network to include bitcoin as a payment mechanism for tips on Twitter gave BTC/USD a significant boost on Wednesday, with prices approaching $50,000.

The debut date for this functionality has yet to be announced, but the news is that using the lightning network to include bitcoin as a payment mechanism for tips on Twitter gave BTC/USD a significant boost on Wednesday, with prices approaching $50,000.

Furthermore, Belarus' President, Alexander Lukashenko, recently advised his compatriots to stay in Belarus and mine bitcoin rather than travel overseas for a low-paying job. He urged locals to work in their own country by mining bitcoin rather than traveling to Poland or Germany to fill farming positions. He offered mining as an alternative source of income, claiming that it could pay them more than being a farmer in Germany or Poland.

Bitcoin mining might be a viable enterprise in areas with inexpensive energy sources. Lukashenko advised his compatriots to take advantage of the opportunity to benefit from their own country's cheap energy supplies and earn more money while staying with their families. This announcement boosted the already-increasing value of BTC/USD.

The rising price of BTC/USD, on the other hand, could be related to the US dollar's current weakness. The dollar was weak on Wednesday, falling for the fourth straight session to 92.5 against the yen following the release of the ADP jobs report. In August, the US private sector added fewer jobs than predicted, severely impacting the currency.

Furthermore, the dollar was under pressure throughout the weekend due to waning hopes that the Fed Chair would make any signals regarding a tapering timeframe during the Jackson Hole symposium. The falling value of the US dollar boosted BTC/USD even more, as the two currencies have a negative connection.

BTC/USD Intraday Technical Levels

Support Resistance

47262.0 49764.0

45680.0 50684.0

44760.0 52266.0

Pivot Point: 48182.0

BTC/USD - Technical Outlook

The leading cryptocurrency BTC/USD is trading with a bullish bias at 49,356 level, having disrupted the resistance level of 49,071 level. This resistance level was yesterday's high, and since Bitcoin has already violated the previous high, it's exposed to place a new high on Thursday.

On the resistance side, the pair's immediate resistance stays at 50,476, and breakout of this exposes the pair towards 51,880 levels. At the same time, the support continues to hold around 49,071 levels. A bearish breakout of this level exposes the pair towards 47,960 level. The Stochastic is holding in a buying zone, supporting an upward trend in Bitcoin today. All the best!