FX.co ★ Technical Analysis of BTC/USD for April 20, 2023

Crypto Industry News:

The former president of the United States, Donald Trump, who will be running for re-election next year, is launching a second collection of non-fungible tokens (NFTs). Last year's mint turned out to be a bull's-eye, and the released series was a spectacular success.

On April 18, Donald Trump announced via his social media platform, Truth Social, that he was releasing a second collection of non-fungible tokens (NFTs). The new batch consists of 47,000 tokens, i.e. by 2,000 more than in the case of the December premiere. As we read in the announcement, they will be minted on the Polygon network. The starting price of each token will be $99, which is analogous to the original asset price from the previous round.

Trump pointed out that regardless of the demand for tokens related to him, he does not intend to increase their price. As he wrote, he wants his supporters to have "good fun" with possible secondary trade, thanks to which they will record additional profit.

"I could have raised the price much higher and I believe it would still sell well with a lot more money, but I chose not to. Will that take away my 'nice guy' reputation?" the former US president asks ironically.

However, the appearance of information about the successor of the December party immediately caused the value of its tokens to melt. According to Coingecko, the price of the cheapest version of Trump NFT decreased from 0.4 ETH to 0.1 ETH after its author's entry appeared. Could this negatively impact demand for new mint? It is possible that people interested in purchasing assets from the announced series may have some concerns. There is no certainty that in the event of further moves by Trump, the price of these tokens will also fall.

The truth is that given Donald Trump's billion-dollar fortune, he's not too keen on making money from non-tradeable tokens. He does not have to resort to NFT trading and meeting investors (this was one of the benefits for the holders). I believe that the real purpose behind this movement is simply to strengthen the community around the presidential candidate in next year's election. If Donald Trump won, he would become the 47th president of the United States. This, by the way, is suggested by the number 47,000 tokens that are to appear on the market soon.

Technical Market Outlook:

The BTC/USD pair has made a new yearly high at the level of $30,909 and after a short period of consolidation, the market started to pull-back from the highs and just recently tested the key short-term technical support located at the level of $28,800. The local low during this test wad made at the level of $28,573, so now the bulls must reverse and rally, otherwise the correction will deepen towards the level of $27,716.. The intraday technical resistance is seen at $30,503 and the intraday technical support at $28,573. When the pull-back is completed, then the up trend should resume as there is still some room to the upside for bulls with next target seen at the level of $32,370.

Weekly Pivot Points:

WR3 - $31,204

WR2 - $30,606

WR1 - $30,290

Weekly Pivot - $30,007

WS1 - $29,682

WS2 - $29,409

WS3 - $28,811

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.