FX.co ★ Technical Analysis of BTC/USD for July 12, 2023

Crypto Industry News:

The author of the best-selling book "Rich Dad, Poor Dad" once again announces a sensational increase in the value of bitcoin. According to Kiyosaki, BTC may rise to as much as $120,000 in the near future in a short time.

The predictions of the veteran among investors are not unfounded at all, as the BRICS countries have announced a plan to introduce a digital currency. Moreover, it will be based on gold, which may not only undermine the hegemony of the USD, but also increase the value of BTC, today even described by Larry Fink as digital gold.

BRICS is the codename for the names of the countries that make up the community, namely Brazil, Russia, India, China and South Africa. This community intends to introduce a new digital currency that will be based on gold. An official announcement and statement on the matter is to be made at the Community Summit in Johannesburg (South Africa) in August.

The plan to introduce the new currency is related to the desire to stimulate trade within the BRICS, as well as to eliminate the higher costs caused by currency exchange in international transactions. It is worth noting that experts' opinions on the impact of the new BRICS digital currency are divided. Some argue that it will be a supplement to the existing dollar-based monetary system. The latter see the BRICS as a serious challenge to the hegemony of the US dollar. They emphasize that it is even more visible in the fact that the BRICS will have a solid base in gold.

Technical Market Outlook:

The BTC/USD pair has made a new swing high at the level of $31,514 and then pulled-back from the extremely overbought market conditions on the H4 and Daily time frame chart towards a narrow zone seen around $30k. The intraday technical support is seen at the level of $29,729 and the intraday technical resistance is seen at $30,428. Moreover, the bulls had broken above the technical resistance located at $28,446 and now this level will work as the technical support and the line in sand for bulls. The next target for bulls is still seen at the level of $32,350, but they need to wait for a fundamental event that would trigger more volatility. Until then, the whipsaw trading conditions are expected.

Weekly Pivot Points:

WR3 - $30,664

WR2 - $30,370

WR1 - $30,236

Weekly Pivot - $30,076

WS1 - $29,943

WS2 - $29,788

WS3 - $29,490

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.