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Technical analysis of BTC/USD for Oct 30, 2019
Crypto Industry News:
Cryptocurrencies like Bitcoin are not real money, as we read in a statement published by the German federal parliament.
According to the announcement, the assets offered by the current cryptocurrency landscape – such as Bitcoin – provide only a very limited part of the functions expected from traditional money. The statement entitled “Cryptographic tokens are not real money” – based on the answer given by the German federal government to the question of the Free Democratic Party parliamentary group.
The answer given defines the basic features of money: exchange and payment methods, storage of value and unit of account. The advertisement indicates that the amount of payments made using crypto is limited compared to fiat currencies.
In addition, the author of the statement also claims that value fluctuations make crypto tokens unsuitable for storing values. The government’s reply states that stablecoin coins are trying to solve problems caused by excessive price fluctuations. Despite this, the government explains that it intends to prohibit their adoption:
“It will be ensured that stablecoins do not become an alternative to state currencies and thus undermine the existing monetary system.”
Finally, the government also noted that they had not yet determined whether Facebook Libra would comply with German law. The statement states that the white paper of the project is not an appropriate source of information for the assessment of the case and the need for additional information.
Technical Market Overview:
The BTC/USD market has entered a corrective cycle and bulls are struggling to break through the technical resistance located at the level of $9,796. The zone from $9,645 to $10,278 is still a sell zone, where most of the sell orders have entered the market. The immediate support is seen at the level of $9,263. The bearish pressure intensifies and the next target for bears is seen at the level of $8,760 or even $8,474 before a new wave up will be made.
Weekly Pivot Points:
WR3 – $14,033
WR2 – $12,095
WR1 – $10,995
Weekly Pivot – $9,057
WS1 – $8,029
WS2 – $6,062
WS3 – $4,932
Trading Recommendations:
Due to the short-term impulsive scenario invalidation, the best strategy in the current market conditions is to trade with the larger timeframe trend, which is still up. All the shorter timeframe moves are still being treated as a counter-trend correction inside of the uptrend. When the wave 2 corrective cycles are completed, the market might will ready for another impulsive wave up of a higher degree and uptrend continuation.
The material has been provided by InstaForex Company – www.instaforex.com
