Bitcoin prices remain on watch ahead of the weekend as the futures market continues to push higher. The weakness in USD this week has fuelled a breakout move in BTC with the market exploding around 17% higher, now back up to its highest levels since early June. The move comes amidst the downturn we’ve seen in USD on the back of recent softer-than-forecast US data. Fed tightening expectations have fallen around 50% in the last week, helping drive a recovery move in crypto.

Regulatory Developments & Trump Support

Indeed, the move higher this week has also been linked to optimism on the regulatory front. The week started with disappointing news after the SEC delayed a meeting to discuss new rules around crypto fundraising for startups. However, crypto executives were seen gathering in Washington yesterday as Trump used a meeting a meeting to urge Congress to pass the Clarity Act, stoking optimism that the bill will be passed. Additionally, crypto investors cheered the news that the SEC is proposing exempting certain assets from regulatory registration. Together, these two items have helped bolster the view that the environment in the US is on the verge of turning more crypto positive. Fulfilling the pledges made by Trump during his campaign. As such, focus is on further upside for now in BTC, especially if USD remains weak.

Technical Views

BTC

The rally in BTC has seen the market breaking out above the $69,605 level and above the bear trend line from YTD highs. With momentum studies bullish focus is now on a test of the $74,270 level next with the higher target set at $83,385.

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Written by James Harte

With 10 years of experience as a private trader and professional market analyst under his belt, James has carved out an impressive industry reputation. Able to both dissect and explain the key fundamental developments in the market, he communicates their importance and relevance in a succinct and straight forward manner.