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Bitcoin Rally Stalls
Despite the heavy sell-off in the Dollar last week, Bitcoin was unable to capitalise on the move and breakout above the 32185 resistance level. Instead, we’ve seen BTC futures correcting around 8% lower as regulatory and macro concerns weigh on sentiment. Bitcoin prices had been driven sharply higher just a few weeks ago as the market reacted favourably to news that BlackRock had applied to launch a Bitcoin ETF. However, the fanfare around the news has since died down and despite a short-lived rally in response to news that Jacobi Asset Management will launch its own crypto ETF this month, BTC is trading lower this week.
Binance Struggling?
Additionally, leading crypto exchange Binance has come under scrutiny recently. Amidst ongoing SEC action, several high-level execs have left recently and the firm has announced layoffs of around 1000 staff members. Binance previously announced a re-organisation in May, laying off around 20% of its staff. The news is once again creating negative sentiment around crypto, explaining why Bitcoin has stalled recently despite a more favourable risk outlook attached to the Fed. While Binance attributes the re-organisation to its preparations for the next bull run, the collapse of several crypto exchanges in recent memory is obviously causing crypto traders some hesitancy.
Technical Views
BTC
The rally in BTC has stalled for now into the 32185 area. This remains the key upside area for bulls to break which, if seen, will turn focus to much higher resistance at the 37030 level as the next bull target. To the downside, should we correct lower from here, 27415 is the next support to note ahead of a deeper level at 24930.
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With 10 years of experience as a private trader and professional market analyst under his belt, James has carved out an impressive industry reputation. Able to both dissect and explain the key fundamental developments in the market, he communicates their importance and relevance in a succinct and straight forward manner.