FX.co ★ Technical analysis of BTC/USD for 30/08/2019:

Crypto Industry News:

The Portuguese tax office explained that both cryptocurrency trading and crypto payments would be VAT-free in that country, according to a Portuguese business newspaper.

The agency reportedly provided explanations to a local cryptocurrency mining company by publishing an official judgment document. In the document, the authority states that the exchange of cryptocurrencies for fiat money is free of VAT, adding that cryptocurrency users do not have to pay any income tax.

In an official statement, the Portuguese tax authority cited the 2015 European Court of Justice ruling regarding the case of Sweden's largest cryptocurrency portal and its moderator David Hedqvist.

The court then ordered that Bitcoin is a means of payment, and therefore the exchange should be subject to VAT exemption. However, the Swedish tax agency then objected to the ruling, arguing that the court had not fully understood the case.

This confirmation follows the previous tax ruling of the Portuguese authority saying that cryptocurrencies are not taxed in that country. A document published by the agency in 2016 states that revenues from the sale of cryptocurrencies in Portugal are not subject to income tax.

Technical Market Overview:

The BTC/USD pair is close to terminate the wave (c) development as the bears have broken below the trendline support around the level of $9,990 after a failure to break through the upper trendline resistance around the level of $10,200. The bears were able to make a new local low at the level of $9,466 and since then the market did not bounce much. Currently, the price is trading around the level of $9,534, just above the low of the old wave W of the overall corrective cycle. Any violation of this level will lead to sell-off acceleration towards the level of $9,046.

Weekly Pivot Points:

WR3 - $11,710

WR2 - $11,306

WR1 - $10,534

Weekly Pivot Pont - $10,091

WS1 - $9,320

WS2 - $8,854

WS3 - $8,140

Trading Recommendations:

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 being treated as a correction inside of the uptrend. The larger degree WXY correction might have been completed and the market might be ready for another impulsive wave up of a higher degree. Any violation of the level of $9,049 invalidates the bullish impulsive scenario.