Current trend

The BTC/USD pair is recovering, holding around 58972.00: the leading cryptocurrencies by capitalization have also entered the "green zone", interrupting a two-week correction. The driver of the positive dynamics was the influx of investments into American spot Bitcoin ETFs on September 13 in the amount of 263.2 million dollars, and the head of the technology company MicroStrategy Michael Saylor purchased 18.3 thousand BTC for more than 1.1 billion dollars.

Let us recall that earlier the cryptocurrency market came under pressure from US inflation statistics, which increased the likelihood of a change in the monetary rate at the meeting on September 18: in August, the consumer price index (CPI) slowed from 2.9% to 2.5% with a forecast of 2.6% YoY and accelerated by 0.2% MoM, while the basic indicator excluding food products and energy remained at 3.2% and increased from 0.2% to 0.3%, respectively. Against this backdrop, 59.0% of market participants, according to the Chicago Mercantile Exchange (CME) FedWatch Tool, are confident in a 50 basis point cut in interest rates, despite the fact that the August employment report showed an increase in nonfarm payrolls by 142.0 thousand against the forecast of 161.0 thousand, and unemployment fell from 4.3% to 4.2%, while average hourly earnings rose by 0.4% compared to the consensus forecast of 0.3%.

Meanwhile, analysts are recording a decline in the activity of “whales” after the rapid upward dynamics of “digital gold” quotes this spring: experts from the Santiment platform said that weekly BTC transactions worth 100,000 dollars or more have fallen by 33.6% since March 13, the day when the coin reached a historical maximum of 73679.00, and ETH – by 72.5%.

In turn, the UK government has introduced a bill to parliament on the legal status of BTC and other digital assets. According to the developers of the document, it will help avoid uncertainty and protect citizens in disputes or fraudulent actions using crypto assets. Thus, the UK is one of the first to recognize digital currencies at the legislative level and assign them the status of a new form of property.

Support and resistance

On the D1 chart, the asset is trading in a correction trend, again approaching the resistance line of the descending channel 67400.00–52000.00 within the next growth wave.

Technical indicators signal a possible reversal and subsequent increase: fast EMAs on the Alligator indicator have already crossed the signal line from the bottom up and are starting to expand the range of fluctuations, while the AO histogram has moved into the buy zone, breaking the transition line.

Resistance levels: 60000.00, 64200.00.

Support levels: 57000.00, 52700.00.

Trading tips

Long positions can be opened after the price consolidates above the local maximum of 60000.00 with a target of 64200.00. Stop loss – 58000.00. Implementation period: 7 days or more.

In case of a reversal and consolidation below the support level of 57000.00, sell positions with a target of 52700.00 may be opened. Stop loss – 59000.00.