Crypto Industry News:
The American banking giant Goldman Sachs recently decided to restart its cryptocurrency trading office. Apparently, this has led to an increased demand for digital assets among the customer base.
Goldman Sachs chief operating officer John Waldron said the company is researching how to meet the growing demand of customers looking to invest in Bitcoin, according to the report. The chief operating officer said Goldman Sachs will "continue to evaluate" and "engage" with cryptocurrencies for customers.
Goldman is also reportedly researching the launch of a Bitcoin ETF as well as further ways to store digital assets. Waldron said the current pandemic has "markedly accelerated" online shopping and would likely cause an "explosion" in digital currency payments.
Some in the cryptocurrency space are looking at Goldman's return as a bearish indicator for BTC. The investment management company originally set up its cryptocurrency trading post in the peak of the 2017 boom, after which Bitcoin's price dropped significantly.
However, many have pointed out that the cryptocurrency market is different from what it was four years ago.
Major companies have adopted Bitcoin as a reserve asset. The regulatory environment in the United States could also potentially be more favorable to cryptocurrencies under Joe Biden. On Wednesday, the US Senate banking committee voted in favor of cryptocurrency-friendly candidate Gary Gensler as chairman of the Securities and Exchange Commission.
Technical Market Outlook:
The BTC/USD pair has made another higher high located at the level of $58,275, which is the 127% Fibonacci extension of the last wave up. The market is currently consolidating the recent gains as the up trend on the H4 time frame is still valid. The momentum remains positive, but it points down already, so any violation of the level of $54, 314 might be the trigger to do lower towards $52,039. The larger time frame trend remains up and there is no indication of the up trend termination of reversal yet.
Weekly Pivot Points:
WR3 - $61,059
WR2 - $56,697
WR1 - $53,887
Weekly Pivot - $49,123
WS1 - $46,093
WS2 - $41,457
WS3 - $38,335
Trading Recommendations:
The bulls are still in control of the Bitcoin market, so the up trend continues and the next long term target for Bitcoin is seen at the level of $60,000. Any correction or local pull-back should be used to open the buy orders. This scenario is valid as long as the level of $41,125 is clearly broken.
