Crypto Industry News:
Federal Reserve Chairman Jerome Powell presented the latest information on the central bank's work on the digital dollar during a panel discussion on digital finance hosted by the Banque of France:
"US cash is not going away. We still use it quite a bit, "he said.
Powell explained that the Federal Reserve is looking very closely at the "potential costs and benefits" of issuing central bank digital currency (CBDC) in the US.
"We are watching it very carefully. We assess both political and technological issues, and we do it very broadly," he explained.
The Fed chairman added that he planned to cooperate with Congress, but also with the executive branch, which would bring expert knowledge on many issues.
"Ultimately, we will need approval from both the executive and Congress to introduce the digital currency of the central bank. [...] We see this as a process that will last at least several years, in which we will do the work and build public confidence in our analysis and final conclusion. "- added.
Technical Market Outlook:
The BTC/USD pair has been seen consolidating again inside a narrow consolidation zone. Only a sustained breakout above the levels of $20,221 - $20,580 would change the outlook to more bullish, however after the Bearish Engulfing candlestick pattern was made at the level of $20,374, the odds for a breakout higher are very low. The market conditions on the H4 time frame are positive, but the momentum is not strong at all. The nearest technical support is seen at $19,096 and $19,256. The swing low is seen at the level of $18,150.
Weekly Pivot Points:
WR3 - $19,226
WR2 - $18,987
WR1 - $18,829
Weekly Pivot - $18,742
WS1 - $18,587
WS2 - $18,500
WS3 - $18,259
Trading Outlook:
The down trend on the H4, Daily and Weekly time frames continues without any indication of a possible trend termination or reversal. So far every bounce and attempt to rally is being used to sell Bitcoin for a better price by the market participants, so the bearish pressure is still high. The key long term technical support at the psychological level of $20,000 had been violated, the new swing low was made at $17,600 and if this level is violated, then the next long-term target for bulls is seen at $13,712. On the other hand, the gamechanging level for bulls is located at $25,367 and it must be clearly violated for a valid breakout.
