BTC/USD fails to extend bounce from 11,100/115 rest-area

  • BTC/USD remains below 1-month old resistance-line.

  • 11,100/115 offers immediate support ahead of 21-DMA level around 10,650.

Despite bouncing off three-week-old horizontal-support, the BTC/USD pair fails to clear near-term trend-line resistance as it makes the rounds to 11,425 during early Monday.

The leading crypto pair has been under pressure recently as price rally in other altcoins joins speculations of increased Bitcoin mining. Adding to the market fears is the on-going US-China trade war and the global ire against Facebook’s Libra that has weighed on the cryptocurrencies alike.

Though, not all market participants have the same view as far as the negative impact of the trade war is concerned. Nigel Green, Chief Executive and Founder of deVere Group, says that the devaluation of China’s currency, currently rattling global financial markets, shows that Bitcoin is now becoming a safe haven asset.

Further to note is the Cointelegraph news that quotes People’s Bank of China (PBoC) Deputy Director Mu Changchun while saying that a prototype that adopts blockchain architecture has been successfully developed after five years of research.

 

Technical Analysis

The quote needs to overcome a month-old falling trend-line, at 12,170 now, in order to aim for month’s high near 12,345 and July month top close to 13,200. On the downside break of 14,100, 21-day moving average (DMA) near 10,650 can lure sellers.

 

Anil Panchal

FXStreet

David