Crypto Industry News:
China's central bank digital currency (CBDC) - the digital Yuan or eCNY - has received upgrades to give it smart contract functionality with a series of newly revealed use cases.
The smart contract feature has been launched in the Meituan app, a Chinese app offering retail and food delivery services, as reported by local cryptocurrency website 8btc.
When Meituan users place an order and pay using their e-CNY wallet, a smart contract is triggered that searches for keywords and purchased items in the order. If a user buys something from the list of keywords for the day, they are entered into a draw for a share of the prize.
The prize is a share of a "red envelope" known locally as a hongbao, containing 8,888 Yuan, worth just over $1,300. Hongbao are small packages traditionally used to give money around Chinese New Year as a gesture of wishing good luck.
Technical Market Outlook:
The BTC/USD pair keeps trading above 100 MA, nevertheless the recent rally had been capped at $23,784 after the Bearish Engulfing candlestick pattern was made at H4 time frame chart. A breakout above the level of $25,000 is needed in order to extend the rally towards the key short-term technical resistance seen at $25,442. Please notice the growing bearish Divergence on the H4 time frame chart. On the other hand, any breakout below the range low ($22,330) would extend the corrective cycle towards the level of $21,466 (November 5th high). Strong and positive momentum support the short-term bullish outlook, however, the market is trading in a extremely overbought conditions.
Weekly Pivot Points:
WR3 - $24,368
WR2 - $23,535
WR1 - $23,112
Weekly Pivot - $22,702
WS1 - $22,278
WS2 - $21,869
WS3 - $21,035
Trading Outlook:
Despite the recent rally, 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 gamechanging level for bulls is located at $25,442 and it must be clearly violated for a valid breakout in the longer term.
