Crypto Industry News:
Although the bitcoin price has increased by more than 80% since the beginning of the year, some cryptosceptics still cannot change their negative attitude towards cryptocurrencies. One such person is the American business magnate, philanthropist and president of Berkshire Hathaway - Warren Buffett. In a recent TV interview, he stated that most people only buy BTC to make quick money. This means that "Bitcoin is a gambling chip and has no intrinsic value."
"But that doesn't stop people from wanting to play roulette," he added.
Buffett has been criticizing cryptocurrencies and mocking blockchain investors for many years. In 2018, he referred to bitcoin as "rat poison" and predicted its collapse.
Despite his forecasts, the valuation of bitcoin is growing and there is no indication that the cryptocurrency will completely disappear from the market. Anyway, the blockchain technology itself makes it impossible. In addition, since 2018, bitcoin has become legal tender in two countries (El Salvador and the Central African Republic). It has become very popular and is increasingly seen as an alternative to the banking system (US regulators shut down Silicon Valley Bank (SVB), Signature Bank and Silvergate Capital this year alone).
In addition to the above, there is the main advantage of bitcoin - its decentralized nature, limited supply and lack of control by a central authority. This is in stark contrast to the fact that central banks can print new money almost freely. Buffett doesn't seem to notice all of this though.
Another person who is an outspoken opponent of the cryptocurrency industry is Berkshire Hathaway vice chairman and Buffett's right-hand man, Charlie Munger. The 99-year-old American publicly advised people to stay away from cryptocurrencies, describing them as "an open sewer full of malicious organisms." He described bitcoin as the currency of criminals.
Some believe that Buffett and Munger criticize cryptocurrencies because they do not understand blockchain technology or are at such a stage in their lives and careers that they subconsciously defend themselves against change. This thesis was supported last year by the founder of SkyBridge Capital - Anthony Scaramucci.
Technical Market Outlook:
The BTC/USD pair has made a new yearly high at the level of $30,909 and keeps consolidating the gains around the yearly highs. The next target for bulls is seen at the level of $32,370. Please notice, the market conditions on the H4 time frame chart are now extremely overbought, so a pullback towards the technical support seen at $29,184 has just started. The intraday technical support is seen at the level of $29,679 and intraday technical resistance is seen at $30,503. When the pull-back is completed, then the up trend should resume as there is still some room to the upside for bulls.
Weekly Pivot Points:
WR3 - $34,015
WR2 - $31,762
WR1 - $30,882
Weekly Pivot - $29,511
WS1 - $28,630
WS2 - $27,258
WS3 - $25,006
Trading Outlook:
The bulls broken above the gamechanging level located at $25,442, so now the mid-term outlook for BTC is bullish. The next target for bulls is seen at the level of $32,350. As long as the level of 19,572 is not clearly violated, there is a chance for a long-term up trend to continue.