BTCUSD, which retraced gradually last week by breaking down the level of 11900, spent the week trying to hold above the 11300 support in general. As the COVID-19 case increase continues, Germany raised its travel warning to September 14. The increase in cases and its result in recent weeks caused the expected time to prolong for the economic contraction caused by the pandemic. However, the introduction of vaccination studies eased the impact of the situation on the price within the week.
As we enter the weekend, Jerome Powell's speech appeared as the expected news in the financial markets. Before the speech, the expectation that the Fed could take care of the stimulus package reconciliation problem in the USA started to emerge and market prices reacted in this direction. For this reason, before the speech, the increased risk appetite in the market created selling pressure on gold and cryptocurrencies. With the cash flow in the cryptocurrency sector shifting to risky assets, the weekly correlations of cryptocurrencies, which experienced an overall decline, were strengthened.
Although positive results could be seen with the incentives given in general terms, the general outlook in the economy does not seem pleasant. The US economy contracted more than 31% in the second quarter, and Europe is experiencing a 12-year peak in the money supply. Generally speaking, although the market in gold and cryptocurrencies has moved with sellers, the Powell speech, the belief that there should be a verbal direction to monetary policy, and the statement of; "narrow space for interest rate cut to support rest" have increased the demand for limited assets. Considering the results of the situation, the deterioration in the risk appetite may continue with the increase in inflation and a depreciation in the USD may occur. This can create continuity in increasing the demand for limited assets.
In light of all this data, BTCUSD, which gained momentum from 11300 support during the statements, was retraced to 11300 support by testing the 11600 resistance. If the market continues to move forward with buyers, 11530, 11600, 11775 and 11900 resistances may come into subject. In this case, the transition to the 20 MA and overbought zone on the 4-hour chart can be followed closely. Maintaining the dominance of buyers in the 11900-12000 band may continue the upward movement. Thus, new record pricing updates can be seen throughout the year.
In possible retraces, levels 11000, 10800 and 10630 can be watched as support. Since breaking the 11000 support may increase the selling pressure, it is worth paying attention. The dates of the option contracts that will expire in cryptocurrencies, which have a fluctuating course, are taken to close marking. There may be fluctuations in bitcoin at the end of maturity, and this may be reflected in cryptocurrencies in general. For this reason, it is beneficial to pay attention to critical levels during the day.
