Our weekly feature on Bitcoin. Our experts analyzed the market situation and told how it may change this week

On Sunday, October 22, bitcoin (BTC) is trading at $29.9 thousand, its price has increased by 11.5% since the end of the previous week. Our experts have analyzed the situation on the market and assessed the prospects of bitcoin exchange rate movement for the next seven days.

Key events of the past week:

• Bitcoin price surge of 5% to $28,500 on Oct. 16 amid false rumors of bitcoin ETF approval in the US.
• Comments from the head of the U.S. Federal Reserve on October 19 about a cautious approach to raising rates, which is positive for cryptocurrencies.
• New price rise on October 20 to the $30k mark on comments from the head of the SEC about reviewing applications for bitcoin ETFs.
• Bitcoin price up 10% for the week to $30,207

This week, bitcoin’s momentum was primarily driven by news and statements from US regulators regarding the prospects of launching a bitcoin ETF.

On Monday, October 16, the bitcoin rate rose sharply by 5% from the level of $27,000 to $28,500. The reason was the spread of false information that the U.S. Securities and Exchange Commission (SEC) allegedly approved the bitcoin ETF from BlackRock. Although the news turned out to be fake, the price tested the psychological level of $30 thousand and showed the potential for growth of 20-30% after the actual launch of the product.

On Tuesday and Wednesday, October 17-18, the price consolidated in the range of $28,000 – $28500, waiting for signals from regulators.

On October 19, a speech by U.S. Federal Reserve Chairman Jerome Powell supported the price growth to $28,700. His comments about a cautious approach to further rate hikes strengthened bitcoin as a risk hedging tool.

On Friday, October 20, bitcoin rose 3.33% to $29,669. The growth started from the Asian session and accelerated at the beginning of the European session. The BTC/USDt pair was rising to $30207. The first time buyers tested the $30k level .It was on October 16 on fake news about the approval of BlackRock’s application to open a spot bitcoin-ETF. Despite the denial of the rumors. They allowed investors to see the potential for bitcoin to strengthen once the ETF was officially approved.

Companies that have filed are expecting SEC filings to be approved within 3-6 months. And that fits the timeline for the upcoming halving in April 2024.

Gary Gansler, Chairman of the U.S. Securities and Exchange Commission (SEC), gave an interview to Bloomberg. And in which he talked about the current status of applications for the spot bitcoin-ETF. He emphasized that the SEC staff uses a time-tested process to review exchange products. And respond to inquiries by providing feedback to potential applicants.

The growth of quotations was limited due to the fall of stock indices in the United States. They were under pressure after the speech of FRB Cleveland President Loretta Mester. She said that the U.S. economic management bodies assess the current conditions as favorable for raising the interest rate. However, the final decision will depend on the dynamics of incoming macro data and changes in risks. An important factor is that the target range for the rate is already on hold. And that may limit the scope for further increases.

What will happen this week

At the moment, the BTC/USDt pair is trading at $29,815. Based on technical analysis, it is worth giving a favorable situation for further growth above the $30 thousand mark. According to BitRiver estimates, the “bull market” will last until November 9. Although a return to the level of $28,500 within the framework of a local correction, which is considered a normal situation, is not excluded.

It is quite obvious that the acceleration of price growth will strengthen the positions of buyers and encourage waiting investors to open long positions. At the same time, the movement near the level of $30 th. should not create obstacles. From October 26 it is possible to start conquering new levels. Until the end of the year, buyers still have a lot of work to do to renew the historical high after the halving.

Next week, data from the U.S. will include the first estimates of third-quarter gross domestic product (GDP) growth, expected on Thursday. In addition, consumer inflation data is expected on Friday. Including core personal consumption expenditures (PCE). This data will be important ahead of the Federal Open Market Committee (FOMC) meeting on November 1.

Federal Reserve (Fed) Chairman Jerome Powell and other central bank officials have suggested. That interest rates will remain unchanged in the short term. And may have peaked if inflation does not rise. Powell is scheduled to speak on Wednesday, October 25.

Our weekly feature on Bitcoin. Our experts analyzed the market situation and told how it may change this week

Key points for the Bitcoin price this week:

• Continued regulatory pressure on crypto exchanges
• Negative market reaction to rising inflation in the U.S. and strengthening of the dollar
• Reduced risk appetite amid escalating conflict in the Middle East.
• The technical picture is generally on the side of the bulls, despite the weekly decline.
• Expectations of the current growth wave ending soon and the start of correction.

Bitcoin has shown volatile dynamics this week, reacting to various factors, both positive and negative.

On Monday, October 9, the price fell by 1.17% to $27,590. The main impact on the market was the growth of geopolitical risks on the background of the conflict between Israel and Hamas. And that led to the withdrawal of investors from risky assets, including bitcoin. In addition, since the beginning of the Asian session there was an increased demand for the dollar as a protective asset.

On Tuesday, October 10, bitcoin continued its decline by 0.72% to $27,390. It was negatively impacted by news from the crypto industry itself. It increased the pressure from regulators around the world on major cryptocurrency exchanges. Due to the increase in regulatory risks, buyer activity dropped noticeably, which caused bitcoin to fall.

On October 11, bitcoin continued to decline against the U.S. dollar – the price fell by 1.88% to $26,875. At the U.S. session, quotes were falling to $26,538. The crypto market continued to ignore the growth of stock indices and the weakening of the dollar on the forex, reacting to the negativity within the industry.

On Thursday, October 12, it continued its smooth decline by another 0.43% to $26,759. Low liquidity persisted in the market, with pressure now being exerted by the strengthening dollar. And the decline in the S&P 500 index and investors’ withdrawal from risky assets.

On Friday, October 13, the price rose slightly – by 0.38% to $26,862. In the morning there was growth on the positive from stock indices. But then, however, due to the deteriorating situation in the Middle East and Israel’s preparation for ground operation in the Gaza Strip, investors again began to get rid of risky assets.

This Week :

The BTC/USDt pair corrected by 50% to rise $24,901 to $28,580. BitRiver estimates that the advantage remains on the side of buyers, according to technical analysis. But given the continued pressure from geopolitical risks, the strengthening dollar, the decline in the S&P 500. And the ongoing crackdown on crypto exchanges by the U.S. Securities and Exchange Commission (SEC). And buyers are scared because of fears of a return to $26,600.

Our experts believe that the growth phase will last until November 9, so we continue to wait for the price to recover to the psychological level of $30 thousand.

Our experts analyzed the state of the market and told us what will happen to the Bitcoin exchange rate in the coming month

October is going to be an interesting period for Bitcoin, which will largely determine further developments in the entire market.

The BTC market continues to stabilize after several events that affected its price in recent months. Bitcoin’s price has reached a one-year low. And at the same time falling by 13% from the July high, which was $31.5 thousand. The fall is due to the accumulation of funds by institutional investors. And that led to a decrease in the supply of BTC on exchanges. Now only 5.83% of the total amount of BTC is in the wallets of crypto exchanges.

Historical analysis shows that a decrease in bitcoin supply on exchanges is often associated with an increase in its price. However, despite this, the opposite trend was observed in September.

Grayscale has won a lawsuit against the US Securities and Exchange Commission (SEC) over the conversion of Grayscale Bitcoin Trust (GBTC) into a spot bitcoin-ETF. This has led to large purchases of BTC by institutional investors. And most of whom are storing assets in cold wallets to increase the safety of their funds. This has also contributed to a reduction in the supply of BTC on exchanges.

The bearish mood in the bitcoin market led to a decrease in trading activity. And the daily trading volume reached a low. However, if the market sentiment changes to bullish, the price of bitcoin, and with it the rest of the cryptocurrencies, will start to rise.

Data from In/Out of Money Around Price (IOMAP) shows that if bitcoin overcomes the resistance at $28.5 thousand, it could stimulate the price to rise to $28.5 thousand. If trading volumes increase significantly, bitcoin’s next rally could exceed this level.

However, if the price drops below $25k, the forecast may be canceled and bearish sentiment may increase.

Hopes for an upward price movement are high

Historically, October is one of the strongest months for VTS. And in 69% of cases the first cryptocurrency grew. The situation in altcoins is a bit different. Many alternative coins have “rewritten the bottom” and continue to trade with about 90% discount. If bitcoin manages to consolidate above the zone outlined above, altcoins could return to early July levels. If Bitcoin manages to consolidate above the zone.

And which has been outlined above, altcoins could return to early July levels. Some coins could go higher. But such a prospect is better to assess individually for each project.

The last few months with a shortage of fresh liquidity. As well as fundamental factors that can return interest in digital assets, the positioning of participants on BTC does not change. And large players continue to “hold” (hold in anticipation of growth), while small players continue to lose money on derivatives inside the price range.

This directly affects the lack of strong price movements. And so far, it is very difficult to say for sure what exactly will be the trigger for a surge in volatility. However, our experts note that such a long sideways (“flat”) formation on BTC will definitely lead to a price explosion in the future.

NFT Coca-Cola contains works by emerging artists and works of world art. In particular, Edvard Munch’s “The Scream” and Johannes Vermeer’s “Girl with a Pearl Earring”

Coca-Cola has issued a series of non-fungible tokens (NFTs) called Masterpiece on Coinbase’s new Base network.

Base is a so-called Level 2 (L2) blockchain, with Coinbase’s cryptocurrency exchange team behind its development. After several months of work in test mode, the network was fully launched on August 9. The launch was timed to coincide with the Onchain Summer program. The program includes a hackathon for developers and several blockchain-related initiatives in art, music and games. One of them was the NFT collection from Coca-Cola.

Coca-Cola tokens contain works by little-known artists as well as works of world art, including Edvard Munch’s “The Scream” and Johannes Vermeer’s “Girl with a Pearl Earring.”

So far, eight different NFTs are available, ranging in price from 0.0011 ETH ($2) to 0.014 ETH ($25.8). The NFT collection is based on the corporation’s recent advertising campaign. And which is partially created with the help of artificial intelligence.

Our experts note that in August it became known that former U.S. President Donald Trump invested up to $500 thousand in cryptocurrency. The funds of the former President of the United States are stored on Ethereum-wallet. As the media believe, he may be associated with a number of past projects of Trump. And in particular, with the collection of NFT which he began to sell after he left the post of head of state.

Weekly feature: Our experts analyzed the market situation and told how it may change in the short term for Bitcoin

Bitcoin has been trading in a narrow range for 28 days now, and there is a risk of a breakout down to $27,500.

In the week from August 6 to August 13, bitcoin demonstrated boring sideways dynamics. And in doing so, stuck in a narrow corridor between $28,700 and $30,400. It feels like Bitcoin is stuck in a traffic jam on the crypto highway and can’t get out of it.

Also investors are clearly bored and yawning as they stare at their monitor screens. Even inflation data in the U.S. could not cause strong price fluctuations. Quotes only slightly swung back and forth and returned back to the range.

Apparently, market participants are indecisive about the prospects of the Fed’s monetary policy. Until there is clarity about the September meeting and spot Bitcoin-ETFs, the price is likely to sleep.

The technical price pattern is not bad for price to consolidate above $30,400. But the lack of volatility in the market during the release of consumer and manufacturing inflation data begs the question.

In the week from August 14 through August 20 the trend line passes through $27,500. This level is the key support, below which it is impossible to fall. Its violation will cause the market to close long positions on the futures market and open the way to $25,300 for sellers. Our experts consider it ideal to stay above $27,800 until September and start a new rally in anticipation of a halving in 2024.

Bitcoin is actually benefiting from this, though. It is better to let it gather strength in a sideways trend. Before breaking into unpredictability with sharp ups and downs. Besides, the longer the consolidation lasts, the more powerful the subsequent spurt.

Conclusions:

Bitcoin is stuck in a narrow price corridor waiting for clarity on the Fed. The sideways dynamics is likely to persist. New catalysts are needed for an exit.

PayPal has launched its own dollar stablecoin. We tell you why it is necessary and what it means for the cryptosphere. As well as what prospects the new instrument has on the global financial market

After two years of development and portability, PayPal has launched its own dollar-stablecoin. And actually became one of the first major payment companies that were able to bring their crypto product to the mass market.

The stablecoin from the payment service was named PayPal USD and the stock ticker PYUSD. Its issuer is Paxos and it will be fully backed by dollar deposits, short-term treasuries and similar financial instruments. Its exchange rate is pegged to the U.S. dollar exchange rate. And the company will initially gradually make it available to PayPal customers in the US.

Stablecoin from PayPal will be exchangeable for dollars or other cryptocurrencies available in PayPal wallets. The company will set an exchange rate that includes the service’s commission on each conversion. PayPal USD will also be able to be used to pay for purchases through a wallet in Venmo, a popular payment app from PayPal. In addition, it will be possible to transfer the token to compatible third-party wallets that are not part of the PayPal network. At an early stage, PayPal expects that PYUSD will be used mainly in the cryptocurrency and Web3 sectors, for example, to exchange for other crypto-assets or for payments in blockchain games. Even then, steiblcoin will gradually gain traction in areas such as money transfers and micropayments.

Stablecoin from PayPal has every chance to join the list of the most popular stablecoins in the future.

PayPal itself has a developed infrastructure and is represented in many countries. It greatly facilitates cross-border payments and speeds them up.

PayPal is actively used by freelancers and developers with international customers. Our experts believe that PYUSD will be a convenient way for them to get paid. It is also interesting that PayPal by the readiness of its infrastructure bypasses many central banks that are just trying to develop digital national currencies (CBDC). In other words, we are witnessing the emergence of a corporate currency that has a chance to become a significant player in the currency market, displacing central banks.

PayPal is one of the global payment giants, so we would like to believe that the future of PYUSD is very bright. At least due to the support of 430 million users of the platform.

Pay Pal and cryptocurrencies

PayPal has been supporting transactions with cryptocurrencies for some time now. And allows users to store such of them as Bitcoin (BTC), Bitcoin Cash (BCH), Ethereum (ETH) and Litecoin (LTC). In its earnings report for the first quarter of this year, the company said it stores about $1 billion worth of cryptocurrencies for its customers.

Since last year, users have been able to transfer cryptocurrency from PayPal accounts to third-party wallets. The company also invests in blockchain startups. And that includes recently leading a $52 million investment round for Magic. Which provides infrastructure for integrating digital wallets into online services and enterprise projects.

PayPal co-founder Peter Thiel’s Founders Fund venture capital fund began investing in Bitcoin back in early 2014. Shortly before the collapse of the crypto market in the spring of 2022, the fund sold almost all cryptocurrency assets, earning about $1.8 billion.

In 2021, it first became known that PayPal began looking for developers to create its own dollar-stablecoin. Despite regulatory scrutiny, problems over the BUSD issue, Paxos remained PayPal’s launch partner for the steblecoin. The company said the partnership was a milestone for the entire industry.

“PYUSD is a first-of-its-kind currency that represents the next stage in the evolution of the U.S. dollar on blockchain,” Paxos said.

And calling PayPal USD “the world’s most secure dollar-backed digital asset.” On the day of the announcement of the stablecoin, the U.S. House of Representatives issued a press release. And where it says that with proper regulation, stablecoins “could become the basis for a 21st century payment system in the United States.”

The PYUSD stablecoin is not yet available on cryptocurrency exchanges. And to purchase it, you must be verified on PayPal’s website.

The Bitcoin market is in a long period of quiet. Our experts have analyzed this situation and made conclusions.

The cryptocurrency market is experiencing one of the least volatile periods in its history. And this raises doubts that noticeable jumps in the price of Bitcoin at all will take place in the future. This is what Glassnode analysts wrote in their weekly market report.

Bitcoin’s realized volatility in various month-to-year intervals has declined significantly this year, reaching multi-year lows. Volatility in the year-to-date range is at levels not seen since December 2016. According to the company’s metrics, this is the fourth such period.

The first time there was such a prolonged lull was during the bear market period in late 2015 and early 2016. The bear market of early 2018 was also accompanied by a lack of significant price swings. And in November of that year, it experienced a 50% collapse. However, this was followed by an upswing in April 2019, when Bitcoin’s price rose from $4k to $14k in three months. A prolonged consolidation also took place after March 2020, when the world adapted to the COVID-19 epidemic. Then there was a brief period of stability at the end of 2022.

Bitcoin volatility chart by Glassnode

The price range separating the seven-day high and low price is only 3.6%. In the history of the market, less than 5% of trading days have ever had a narrower weekly trading range. The 30-day price range is even narrower. Periods of consolidation and narrowing of a price range of this magnitude are extremely rare for Bitcoin.

Weekly lows and highs for the bitcoin price. Source: Glassnode

At the same time, Glassnode notes that the number of long-term Bitcoin holders has reached an all-time high, accounting for about 15.6 million BTC (75% of coins in circulation).

What’s next for the Bitcoin price, our experts’ opinions

In general, the technical picture on the daily charts “looks positive for the “bulls”. According to our experts’ estimates, the beginning of fall will be the starting point for a new growth phase. However, now the cyclic analysis points to the advantage of “bears”. And that in conditions of low volatility constrains the market.

Last week, the BTC/USDt pair declined on the background of strong statistics on US GDP. And which gives the Fed grounds for further tightening of monetary policy in the fight against inflation. This raises concerns for investors trading risky assets.

For now, uncertainty and regulatory risks remain amid tough statements from the head of the SEC. Low trading volumes increase the probability of BTC’s decline to the levels of $27,700 – $27,900. But in case of passing the $31,800 mark, the “bulls” will be able to regain the leading position.

Our experts told about opportunities to invest in crypto-assets with a link to the price of gold

It’s been more than 35 years since The Economist magazine published a cover story titled “Get ready for a world currency” with the name Phoenix and the year 2018 minted on the coin. This magazine partly influenced the credibility of bitcoin and cryptocurrencies, but many people don’t know about the story until now. The first notable hype around cryptocurrencies happened just in 2017-2018. And the top of the cryptocurrency market capitalization of that period was formed on January 8, 2018. The magazine was published on January 9, 1988, it said that in 30 years people will buy goods online and all price tags will be indicated in the new world currency.

Fiat currencies aren’t going anywhere. And it will be easier for states to manage their economies. It is possible that this is what the market maker took advantage of. And after all, thanks to this magazine, many people believed that in 2018 there was a new world currency, and bought cryptocurrencies at the peak of the price.

The main Bitcoin network was launched on January 3, 2009. And today it’s 2023, and settlements are still predominantly in dollars, some continue to believe that Bitcoin will eventually become the world currency that it is. But there is another option. Our experts allow varianto that under the new world currency hides ordinary gold. But in digitized or tokenized form.

In this variant it can be divided into dust and instantly make payment. And the proof of its originality will be recorded in the blockchain. We, on the other hand, believe in the value of the Tether USD (USDT) stablecoin today. And which is issued in this way, on the blockchain and backed by real financial instruments.

News is emerging that the BRICS countries are going to launch their own currency.

And some sources believe that it will be pegged to the value of gold or backed by gold reserves. In such a case BRICS comes to exchange of goods and resources. And it is practically a barter system of settlements between the countries. Gold will act as a unit of measurement in mutual settlements. Thus, everything will return to the original idea, when the dollar was backed by the gold reserve.

The blockchain organization with DPoS (Delegated Proof-of-Stake) consensus is most suitable for building such a payment system. This consensus algorithm was first developed by Dan Larimer in 2013 for his BitShares project. The DPoS protocol is also referred to as a form of “digital democracy”. The difference between DPoS and the Proof-of-Stake (PoS) algorithm. And on which Ethereum (ETH) or Cardano (ADA) operate, is the separation of network participants into block producers and voters. If we project this idea into the form of a supranational digital currency. And it will turn out that citizens of countries choose the government. And the government sets up a node to validate transactions. Sooner or later, elections will also take place on the blockchain, and such a consensus will become more transparent.

For such a payment network, for example, the architecture of the EOS cryptocurrency would fit well. But it is clear that the government will not use the blockchains of existing cryptocurrencies.

The new currency will probably be backed by commodities or raw materials. Not the growth of any one country’s economy. It will be a separate network where each BRICS member will hold a node (node) of the network. When the consensus will be that even if one participant (node) of the network confirms a transaction (without considering the sender). And all others are against it, and such a transaction goes through, it will be called a multipolar world. In such a network, money will not be frozen by the decision of just one party, as in the case of the dollar or the euro. This would be the creation of a new model, where the old one would simply become obsolete and cease to be popular.

Investment option

Since the 2008 crisis, central banks have been actively buying gold. This has only happened once in history, before the dollar was decoupled from gold.

Today, you can buy tokenized gold, such as PAX Gold (PAXG). Each token is backed by one troy ounce of London gold in 400 ounce bars stored in Brink’s vaults. If you own PAXG, you own the underlying physical gold. And held in the custody of the Paxos Trust Company. Tether also issues tokenized Tether Gold (XAUt), but it is less trusted.

Our experts believe that gold is a more promising instrument for value saving in the coming years.

Gold is trading at $1930 an ounce today. Short-term we expect growth up to $2390.

Cryptocurrency exchange HashKey Exchange has been authorized to provide services to retail investors in Hong Kong

Cryptocurrency exchange HashKey Exchange has become the first company in Hong Kong. Which has been licensed under the region’s new licensing regime. And which allows cryptocurrencies to offer retail services.

HashKey has been granted Type 1 (securities transactions) and Type 7 (automated trading services) licenses. And can now serve retail investors in the region, the company said in a statement.

On April 27, the Hong Kong Monetary Authority (HKMA) issued a circular to banks to clarify the rules for opening accounts for cryptocurrency companies. The document clarifies how banks should conduct customer due diligence (CDD).

On June 1, 2023, Hong Kong introduced a new licensing regime for companies providing cryptocurrency trading services.

Our experts note that at the end of June, the Hong Kong unit of British bank HSBC allowed clients to trade shares of cryptocurrency ETFs. It was noted that the purchase of shares of four cryptocurrency exchange traded funds will be available to users through official trading applications.

Hong Kong’s first official crypto exchange HashKey Exchange will not provide services to users from 34 countries. Also including Russia, Iran, South Africa and Myanmar

The exchange does not restrict access to clients from the USA, Japan, China and a number of other countries. But on condition that they live in the territory of states where the circulation of digital assets is not restricted. They will have to confirm their location address and phone number during the verification procedure.

From the user agreement also became known that the processing of payments for the HashKey Exchange is engaged in the Asian division of the bank JPMorgan Chase. And one more partner bank will become ZA Bank in the future.

Weekly feature: our experts analyzed the market situation and told how it may change in the short term for Bitcoin

The week from July 31 to August 6 was relatively quiet. The BTC/USDt pair traded in the range of $28,585 – $30,047. Increased volatility in the market was observed on August 1 and 2. On August 1, the price of Bitcoin fell to $28,585. The market was pressurized by fears of regulatory action by the Securities and Exchange Commission (SEC) regarding the crypto projects Hex, PulseChain and PulseX. The hack of the Curve crypto exchange was also negatively impacted. And as a result of which hackers stole about $50 million. Despite the fall in quotes in the first half of the day, the daily candle closed with growth at $29,705.

On August 2, Bitcoin was recovering to $30,047. There are two reasons that may have provided support for buyers:

The first one is the release of MicroStrategy’s Q2 2023 report. The company made a profit for Q2 and purchased 12,333 BTC. As of July 31, the company owns 152,800 BTC. The total BTC purchase price is $4.53 billion at an average price of $29,672 per 1 BTC.

Second – Fitch Ratings downgraded the U.S. sovereign credit rating from AAA to AA+ due to a growing budget deficit and a buildup of government debt. The downgrade had a limited impact on the markets. And since with such debt it is an expected event. U.S. government debt service has nearly reached $1 trillion a year. At this rate, debt interest payments will soon become a major spending item in the U.S. budget. Hardly anyone will repay the debt. The share of the dollar is declining in international settlements and in central bank reserves. No matter what anyone says, U.S. bonds are becoming toxic.

Analysis of other factors

Friday’s U.S. labor market data points to a continued slowdown in job growth. 187,000 jobs were created in July. And that is below forecasts. And the figures for June were revised downward to 185k. That’s the smallest job gain since December 2020.

Although the unemployment rate has fallen. And wages have risen, the low rate of job growth suggests the labor market is gradually cooling under the influence of the Fed’s tighter monetary policy and a slowing economy. Companies are cutting back on hiring because of rising costs and an uncertain outlook.

Overall, the data points to weakening employee attitudes and cooling labor demand. This could have a dampening effect on inflation and cause the Fed to slow the pace of rate hikes. Nevertheless, the labor market remains relatively resilient despite the slowdown.

Despite a relatively quiet week in terms of economic events, the key indicator will be the U.S. Consumer Price Index (CPI), which will be released on August 10. It will give an indication of the inflation rate and could affect the US Dollar’s performance and the Fed’s monetary policy expectations.

The dollar ended last week on a weak note after a five-day rally. And the question is whether it was a correction of the uptrend or the beginning of its reversal. Overall, the US inflation report will be a key benchmark in the coming week to understand the outlook for the dollar and monetary policy. Bitcoin did not take advantage of the dollar’s weakness, and that’s a bad thing, as its rebound and a decline in U.S. stock indices could bring down the market more.

Buyers’ activity in the crypto market is low due to fears of a new market crash

The U.S. Attorney’s Office is preparing charges against Binance. However, it fears that it may provoke a massive outflow of user funds, as in the case of the bankrupt FTX.

DOJ officials are rumored to be concerned that filing criminal fraud charges against Binance could cause panic. And mass withdrawals by customers, causing them to lose money and destabilize the entire cryptocurrency market.

Therefore, prosecutors are considering alternative options to punish Binance, such as fines, deferred prosecution, or a settlement agreement. This would avoid a harsh reaction from investors and negative consequences for the industry. A decision on what charges will ultimately be brought against Binance has not yet been made and is under review by the US Department of Justice.

Prospects

Our experts note that despite the local recovery, buyers failed to gain a strong foothold above $30 th. The price Bitcoin stabilized around $28,950, where it traded until the end of the week amid the absence of positive triggers. The key support level is the $28,250 mark. If the trend line from the low of $16,333 does not hold. The risks of falling to $25,250 will increase sharply. According to seasonal cycles, the bearish phase should last until September. BitRiver estimates that Bitcoin needs to break through the resistance at $30,500 for the situation to turn bullish.