Crypto Industry News:
The difficulty of mining the first cryptocurrency on October 10 was at its highest historical level. The latest estimates indicate its jump by 13%, which means that it is at the level of 35.61 trillion hash.
The difficulty in extracting subsequent BTC blocks has exceeded the highest level of 35.61 trillion hashs today. The reasons for this situation can be found in the fact that miners are intensifying their work on mining bitcoin, or that more and more people are joining the network for this purpose.
Mining difficulty is an automatically adaptive function of the Bitcoin protocol. It is a measure of how much work it takes to mine the next BTC block. It has been implemented to ensure that blockchain transactions are processed at a steady pace, i.e. 10 minutes.
The difficulty is encrypted every 2016 blocks according to the hash rate changes. Recent data suggests that it has increased by 13% to 35.61 trillion, the largest upward revision of Bitcoin mining difficulty since mid-2021. As a result, this will create some difficulties for bitcoin miners to compete with each other to solve the problem of the complex cryptographic calculations. These are solved using specialized hardware chips, i.e. application-specific integrated circuits (ASICs).
Technical Market Outlook:
The BTC/USD pair had broken out of the local trend line and the Falling Wedge price pattern as the new local low at the level of $18,965 was made. The supply zone (marked as a red rectangle) is very inportant for bulls from a technical point of view, because only a sustained breakout above the levels of $20,221 - $20,580 would change the outlook to more bullish, so please keep an eye on this zone for a possible breakout towards the next target seen at $22,410. The market conditions on the H4 time frame are weak and negative, so a local pull-back towards the short-term trend line support (marked in blue) might happen soon. The nearest technical support is seen at $18,944 and $18,856. The swing low is seen at the level of $18,150.
Weekly Pivot Points:
WR3 - $19,705
WR2 - $19,556
WR1 - $19,482
Weekly Pivot - $19,332
WS1 - $19,257
WS2 - $19,132
WS3 - $19,009
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.
