FX.co ★ BTC analysis for 01.09.2020 - Potential big sell off is coming, fist target at $6.500

Industry news:

In a submission (pdf) to the Select Committee on Financial Technology and Regulatory Technology just before Christmas, RBA officials were skeptical that cryptocurrencies, in their current and future forms, would ever replace government-issued money.

Although newer initiatives like Libra and CBDCs could promote financial inclusion, the bank's current assessment is that innovation in the broader fintech space will make these solutions redundant.

"In Australia, it is unclear that there will be strong demand for global stablecoins even if they do meet all regulatory requirements, particularly for domestic payments," reads the submission. "Australia is already well served by a range of low-cost and efficient real-time payment methods, such as the NPP [New Payments Platform] that utilise funds held in accounts at prudentially supervised financial institutions."

Technical analysis:

BTC reached major resistance at the price of $8.500 and I do see further downside movement. The price is still trading inside of the downside channel, which is another confirmation for our bearish view...

Downward targets are set at the price of $6.500 and $5.825

MACD oscillator is showing neutral stance and slow line is near the zero level.

Major resistance level is set at $8.500

Support levels are set at the price of $6.500 and $5.825