Dear Teroxx Community,
This week we saw a digital asset market that first saw positive movements starting from the support levels and followed by larger price jumps due to a rumor!
As usual, we are also providing detailed videos for those who want to delve deeper into the subject.
Latest crypto news
Bitcoin bulls are back, but the strengthening US dollar, a new Corona wave and low trading volumes threaten the current recovery. Bitcoin’s price action and data from previous corrections suggest that the current struggle of the top cryptocurrency might last a bit longer. Reasons for this include the strengthening dollar, diminishing economic support, and a number of technical factors related to Bitcoin’s price performance.
1. According to data from Delphi Digital, the strengthening U.S. dollar is one of the biggest negative factors for risky assets around the world. This is trying to reverse the trend after the index fell below 90 at the end of May.
2. The 12-month moving average has been an important support level for Bitcoin in the past. Therefore, the price performance near this level could determine whether the current uptrend will remain.
3. economic support packages are getting smaller and thus the world markets are approaching a “reality”.
“Bitcoin is just the beginning,” the anonymous source close to Amazon said of the company’s plans to get into cryptocurrency payments. An anonymous source close to Amazon told London-based business daily City A.M. that the online giant plans to accept Bitcoin (BTC) payments by the end of 2021. In doing so, it may be ensuring wider mainstream acceptance of crypto transactions.
“This is not simply for the purpose of setting up cryptocurrency payment solutions at some point in the future. This is a sophisticated, much-discussed, integral part of Amazon’s future operating mechanism,” the anonymous source told City A.M., according to a report Sunday. In addition to bitcoin payments, Amazon is also said to be looking to develop its own cryptocurrency, possibly as early as 2022, the source said. This coincides with media reports that Amazon had hired more blockchain employees a few months ago.
Governments around the world are exploring CBDCs. China is probably the furthest along among the economically strongest countries so far, and also wants to use its digital yuan at the 2022 Winter Games in Beijing. Eighty-one countries are exploring the opportunities and challenges of a central bank digital currency (CBDC). Five of those countries have already fully implemented a digital version of their currency, according to a new Atlantic Council tracker. Among the countries with the four largest central banks, the U.S. Federal Reserve, the European Central Bank, the Bank of Japan and the Bank of England, the U.S. is the furthest behind in developing CBDCs.
Technical term of the week
Price Catalyst: A single event that causes the majority of digital asset prices to rise or fall abruptly. Most of the time, this is news of great importance that shapes the markets in the long run!
Bullish outlook: If the rumor is confirmed, the $40,000 mark will most likely be breached. This would make the entire market segment bullish.
Bearish outlook: Should the news temporarily fizzle out, then further consolidation around ~$35,000 is likely.