FX.co ★ Technical Analysis of BTC/USD for July 25, 2023

Crypto Industry News:

Several tokens branded "X" appeared on decentralized exchanges overnight. This happened when Elon Musk's Twitter ditched its iconic blue bird logo for an X symbol.

Musk first tweeted about the upcoming change over the weekend. Twitter CEO Linda Yaccarino confirmed the rebranding on Sunday:

"X is the future state of limitless interactivity - focused on audio, video, messaging, payment/banking - creating a global marketplace for ideas, goods, services and opportunities. Powered by AI, X will connect us all in ways we are only beginning to imagine."

In April 2023, when Musk merged Twitter with X Corp., he also registered X.AI Corp. as an artificial intelligence startup. The Twitter boss then founded xAI, his own AI company, to understand the industry.

Dozens of X tokens have now appeared on multiple blockchain networks. These included new tokens that claim to have a proper roadmap for the coming months, as well as those that are seemingly pump-and-drop schemes. One of them jumped as much as 1,200% in 24 hours, even though its project was shut down in May. This suggests that low-cap traders were buying almost everything under the X brand in an effort to make a small profit.

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 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, moreover, it hit the extremely oversold levels on the H4 time frame chart.

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.