Crypto Industry News:
Tim Draper is a legend in the world of investing. He is a billionaire venture capitalist who has invested in companies such as Coinbase, Twitch, Tesla and Twitter. He has been farming BTC for years. Now he has explained why he does it.
Draper not only invests in various innovative companies. In 2014, he bought 30,000 BTC from the US government. It's about cryptocurrencies that were confiscated from the darknet platform Silk Road and put up for auction. Now he gave an interview in which he explained why he has believed in the success of bitcoin for nearly a decade.
He mentioned, for example, the beginnings of the Internet. During this period, the government thought about taxing the use of this new technology. Some wanted to ban it altogether. Ordinary people were also very skeptical about using the web, and some were even afraid to enter their credit card details there. Today, as you know, the Internet is not banned or taxed, and instead has become an important part of our daily lives. Draper believes the same will happen with BTC.
The comparison of bitcoin with the Internet came up in the conversation for a reason. The investor is of the opinion that the cryptocurrency is simply better and safer in terms of technology than fiat currencies.
"Having a bank and the government decide which currency is good is not as effective as having bitcoin, where you have a trusted third party - hundreds of thousands of nodes checking to make sure that a given transaction was done correctly," he said.
The above will lead to more people and countries entering the cryptocurrency market, which will translate into a price jump, which in turn will result from the limited supply of BTC.
Technical Market Outlook:
The BTC/USD pair has broken below the key short-term technical support located at the level of $29,623 and made a new local low at the level of $28,880. So far the bulls are bouncing up from the lows, but in a case of a breakout lower, the next target is located at $28,446 (this level will work as the technical support and the line in sand for bulls). The market still trades below the short-term trend line resistance as well. The intraday technical resistance is seen at the level of $30,447, but now the level of $29,623 will act as the technical resistance as well. The momentum is weak and negative which supports the short-term bearish outlook for BTC.
Weekly Pivot Points:
WR3 - $30,622
WR2 - $30,209
WR1 - $29,962
Weekly Pivot - $29,796
WS1 - $29,549
WS2 - $29,383
WS3 - $28,940
Trading Outlook:
The bulls broken above the gamechanging level located at $25,442, so now the mid-term outlook for BTC is bullish. The last pull-back has reached the 38% Fibonacci retracement and the market is ready to continue the up move. 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.