Bitcoin Falls, But Upside Prospects Remain: Levels to Watch
• Bitcoin (BTC) opened the week in negative territory, but fundamentals and technical indicators suggest an upside.
• Last week Bitcoin’s gains were supported by a weaker U.S. dollar index (DXY).
• The Federal Reserve blackout period may keep the BTC price flat this week, with levels to watch at $29,850-$31,500.
Bitcoin Opens Week Lower But Upside Prospects High
Bitcoin (BTC) declined modestly on the first day of its new weekly session beginning on July 17. Nonetheless, a mix of fundamental and technical indicators raises the coin’s upside prospects in the coming days.
Fading XRP FOMO Limits Bitcoin Gains
Last week, Bitcoin wobbled between extreme gains and losses as traders assessed a weaker U.S. inflation print against Ripple’s partial win against the U.S. Securities and Exchange Commission (SEC). On July 13, the BTC price broke toward $32,000 after a federal judge ruled that the XRP sales on public crypto exchanges did not break securities laws. Nonetheless, altcoins under the SEC’s regulatory radar posted better profits than Bitcoin, including Cardano (ADA), Solana (SOL), and XRP itself.
This Week In Review
Bitcoin’s gains last week came against the backdrop of a weaker U.S. dollar index (DXY). The greenback weakened as a softer U.S. consumer price index (CPI) report prompted market participants to believe that the Federal Reserve would reach its peak interest rate in the July 25-26 meeting. The dollar may consolidate sideways amid the Fed blackout period — between now and the next central bank meeting — which could keep Bitcoin’s price flat for this week inside its prevailing trading range of roughly $29,850 -$31,500 area .
Levels To Watch For
In a breakout scenario from these levels ,a decisive close below $29,850 may trigger an extended decline toward $28,250 ,down 3% from current price levels . Conversely ,a close above $31 ,500 could push the price towards 7$32 ,350 ,a May 2022 high .
