FX.co ★ Technical Analysis of BTC/USD for July 21, 2023

Crypto Industry News:

The UK government has rejected a proposal by the House of Commons Treasury Committee to regulate cryptocurrency trading under gambling rules, saying it "strongly disagrees" with the committee's approach.

A group of UK MPs called for UK cryptocurrency regulation in a manner similar to gambling in a committee report dated May 17. The Treasury Commission found that cryptocurrency investment activity complies with the "same risk, same regulation" principle.

In response to the committee's July 20 report, UK Treasury Secretary for Economic Affairs Andrew Griffith rejected the proposal, saying the government strongly disagreed with the committee's "recommendation to regulate retail and investment activities in unsecured crypto assets as gambling, not a financial service."

In the UK, all forms of gambling are regulated under the Gambling Act 2005. Businesses, including bingo halls, lotteries, sportsbooks, online betting and casinos, are scrutinized to reduce addictive gambling and implement anti-money laundering measures.

Technical Market Outlook:

The BTC/USD pair has been seen testing the key short-term technical support located at the level of $29,623. So far the bulls are bouncing up from the level, 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 intraday technical resistance is seen at the level of $30,447. The momentum is neutral which is a good indication for bulls as any breakout above the level of fifty would trigger another leg to the upside targeting the intraday technical resistance seen at $30,447.

Weekly Pivot Points:

WR3 - $30,637

WR2 - $30,432

WR1 - $30,347

Weekly Pivot - $30,227

WS1 - $30,141

WS2 - $30,021

WS3 - $29,816

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.