Bitcoin Attempts To Stage A Recovery Above $7,500
Bitcoin attempted to stage a recovery above the $7,500 level this week after the number one cryptocurrency by market capitalization slumped to its a six-month trading low. Bitcoin had opened the trading week under heavy downside, following bearish regulatory news coming from China. The BTCUSD pair eventually found support around the $6,500 level before recovering back towards the $7,700 resistance level. Short covering and bullish news surrounding the increasing amount of traders and investors using Bakkt’s Bitcoin Futures trading platform helped Bitcoin recovery early week losses.
The BTCUSD pair is only bullish while trading above $8,000 level, further upside towards the $9,000 and $9,600 levels then seems possible.
If the BTCUSD pair holds below the $8,000 level, price could fall back towards the $7,200 and $6,500 levels.
Financial market participants held a positive tone this week over growing expectations that a trade deal between the US and Chian may be forthcoming. Officials from Washington and Beijing continued to send out positive signals that a Sino-US trade was nearly completed. US equity markets moved to record trading highs, while the USDJPY pair moved to a fresh multi-month trading peak. US President Donald Trump continued to Tweet positive messages surrounding the upcoming deal, while impeachment charges towards the US President were seen as less likely to happen.
The USDJPY pair is only bullish while trading above the 109.00 level, key resistance is found at the 109.60 and 110.00 level.
If the USDJPY pair continues to trade below the 109.00 level, sellers may test towards the 108.60 and 107.90 support levels.
The broader cryptocurrency market recovered from multi-month trading lows this week, following increasingly bullish news about regulatory reform in South Korea and South-East Asia. Ethereum briefly traded under the $150.00 level following bearish news about a security breach at the crypto exchange, Upbit. Ethereum soon recovered as the exchange pledged to cover the losses with its own assets, which helped to improve investor sentiment. Litecoin struggled to rally above the $50.00 level as traders continued to increase bearish bets towards the fifth-largest cryptocurrency.
The ETHUSD pair is bullish while trading above the $168.00 level, further upside towards the $180.00 and $200.00 levels seems possible.
If the ETHUSD pair moves below the $168.00 level, sellers may test towards the $145.00 and $140.00 support levels.
The British pound recovered losses against the US dollar this week, as the latest opinion polls coming from the UK continued to show Boris Johnson’s Conservative Party extending its lead over the opposition Labour Party. The GBPUSD pair found strong buying interest from just above the 1.2830 level, as traders continued to use any pullbacks in sterling as a buying opportunity. Sterling bulls looked to secure gains above the 1.2900 level in order to encourage traders to break above the psychological 1.3000 level.
The GBPUSD pair remains bullish while trading above the 1.2900 level, further upside towards 1.3000 and 1.3100 levels seems possible.
If the GBPUSD pair moves below the 1.2900 level, further selling towards the 1.2850 and 1.2830 support levels remain possible.